Asset Management Reportfor theth FP

From January 1, 2021 to June 30, 2021

Canadian Solar Infrastructure Fund, Inc<Quebec, Canada>

2-1-1 Nishi-Shinjuku, Shinjuku-ku,
Tokyo 163-0450 Japan
https://www.canadiansolarinfra.com/en/

Cleaner Energy
for the Next
Generation
To Our Investors

Contents

On behalf of the Canadian Solar Infrastructure Fund, Inc.（hereinafter referred
to as“CSIF”）, I would like to express sincere appreciation to all unitholders
for their continued patronage and support.

00

CSIF is determined to maximize unitholder value by making efforts to achieve
efficient investment, taking advantage of the vertical integration model of theCanadian Solar Group and external growth through the acquisition offacilities mainly from the sponsor pipeline to provide stable distribution.
In pursuit of these initiatives, we expect the continued understanding andsuppor t of all unitholders.

Executive Director
Canadian Solar Infrastructure Fund, Inc.
CEO and Representative Director
Canadian Solar Asset Management K.K.

Tetsuya Nakamura

To Our Investors

02 F inancial Highlights
03Track Record of Consistent External Growth04

Canadian Solar Group05

Unique Aspect of the Fund

06

Management Interview

08

To Carbon Neutrality

10

Effort in ESG

12

Portfolio

14

Portfolio Overview

16

Financial Summary／Information for Unitholders

17

Asset Management Report51

Balance Sheet

53

Statement of Income

54Statement of Changes in Unitholders’Equity

55

Notes65

Statement of Cash Distribution

66

Statement of Cash Flow

Feature Story

P9

ESG finance andJapan’s carbon
neutrality policies

1Financial Highlights

T r a c k R e c o r d o f C o ns is t e nt Ex t e r na l G r o w t h

Key Indicators for the 8th FP

As of Jun. 30, 2021

Carbon Emissions (8th FP)

Carbon Emissions (cumulative) July 2020 – June 2021

40,791kg-co

72,748kg-coDistribution Per Unit for the 8th FP

Operational Revenue for the 8th FP

2

JPY

3,700

JPY

25 PV Facilities

end of the 8th FP, making it the largest player in the listed infrastructure fund market.
CSIF will continue to lead the market as the largest listed infrastructure fund by asset size.

Track Record of Consistent External Growth (acquisition price basis)
IPO acquisitions (Oct 2017)

3,425min

JPY
Total Acquisition Price

JPY

80.00bin

1,073minPanel Output of AUM

183.9MWFirst PO (Sep 2018)

Acquired
13 projects with
72.7MW total
panel output

CS Mashikimachi PP

Net Income for the 8th FP

1,459min# of Projects

As a result of the acquisition of new assets, which was completed during the 8th FP, CSIF held ¥80.0bn (acquisition value base) as of the

2

Operating Income for the 8th FP

JPY

CSIF has achieved continuous growth in asset size by sourcing projects from the abundant sponsor pipeline.

(100Mn yen)
1,000
800

CS Daisencho PP

4th FPacquisitions

5th FPacquisitions

Acquired
2 projects with
2.5MW total
panel output

Acquired
2 projects with
3.2MW total
panel output

Acquired
1 project with
10.7MW total
panel output

115.3 426.3 13.2 439.5
301.1

9.9

CS Hiji-machi
Dai-Ni PP

Acquired 3 projects with
30.3MW total panel
output

2nd FPacquisitions

600
400

2nd PO (Mar 2021)
CS Ogawaramachi  PP

Acquired 2 projects with 60.9MW total
panel output

7th FPacquisitions

1,000

Acquired
2 projects with
3.3MW total
panel output

45.7 485.2

485.2

8.9

305.9 800.0

494.0

311.0

200
0

IPO
Oct 2017

2nd Fiscal
Period(period-ending
June 2018)

3rd Fiscal
Period(period-ending
December 2018)

4th Fiscal
Period(period-ending
June 2019)

5th Fiscal
Period(period-ending
December 2019)

6th Fiscal
Period(period-ending
June 2020)

7th Fiscal Acquisitions Portfolio Medium-term
Periodtargetafter(period-ending
acquisitions (Note)
December 2020)

Note: The medium-term target shown above is CSIF’s target as of June 30, 2021, and does neither represent a guarantee nor promise that the target
will be achieved nor when it will be achieved.

Historical and Forecasted Dividend
Since its listing, CSIF has offered a stable dividend and achieved steady increases in dividends.
（JPY）
4,000
3,000

DPU (excl. distributions in excess of earnings)

3,650

3,600
+¥50

577

1,817

3,650
1,340

+¥50

Per unit distributions in excess of earnings

3,700

3,700

708

601

2,992

3,099

6th FP

7th FP

3,700
924

2,000
3,073
1,000

1,783

0

3rd FP

4th FP

2,310

5th FP

2,776

8th FP

3,750

3,750

3,750

528

714

680

3,222

3,036

3,070

9th FP(Forecast)

10th FP(Forecast)

11th FP(Forecast)(Note) Figures for the 9th~11th Fiscal Period are forecasts and are subject to change. They do not represent guaranteed distribution amounts.

2

3

C a na d i a n S o la r G r o up

Uniq ue As p e c t s o f t he F und

The Canadian Solar Group, CSIF’s sponsor, has adopted the vertical integration model in its global operations, ranging from the manufacture
and marketing of solar panels, etc. to the development and operation of solar power plants. The Group operates 22 sales hubs around theworld and has more than 14,000 employees globally. Annual sales for the fiscal period ended December 31, 2020 amounted toapproximately US$3.5 bn (approximately ¥380 bn using the current exchange rate). It was listed on NASDAQ in 2006 with total capitalization

Advantageous Operation Based on the Vertically-Integrated Model of the Group
Prominent knowledge acquired by the Group as the total solution provider of solar power generation is fully utilized for the operation of
CSIF. The uniqueness of the vertically integrated model of the group is shown as below.

of approximately US$2.0 bn. It entered the Japanese market in 2009 for sales of solar panels for residential and industrial uses. Moreover,backed by the start of the Feed-in Tariff scheme in Japan in 2012, it has been working to develop solar power plants from the early days.
The manufacturer of the most“Bankable”(qualified as lending subject)

Delivered solar panels amounting to oversolar power module（by Bloomberg New Energy Finance 2020 Module
Bankability Survey）

55GW

total capacity

Over

21GW

solar power plants

N. America

olar
ase s
e
l
d
an
Own

・Operational: approx. 100MW・Under construction: approx. 731MW・Under development: approx. 5.3GW

EMEA

・Under development:
approx. 3.0GW

Note1: A part from the operational projects, the panel output show nabove are the figures base dont hed evelopment plans as of September 30,
2020. The above figures may differ from actual panel output after construction of the so lar power plants is completed.The same shallapply here inafter.
Note2: A s of February 17, 2021, CSIF does not intend to acquire the se project sand there is noassurance that CSIF will acquire the se projects.

Operational Start Year and Status of Sponsor Portfolio Assets
Target to achieve ¥100Bn in asset size in medium term by mainly acquiring assets from abundant sponsor pipeline
Operational and under construction

Under development

Total sponsor portfolio

11projects, 175.2MW

19projects, 233.5MW

30projects, 408.7MW​

Operational

Under construction

300

Under development

52.0

200
27.8
Operational

29.6

1.2

117.9

2021

2022

408.7MW
40.1

140.2

233.5
27.8

2023

2024-

147.5
Total

Silicon

rt
Ve

ic

y
a ll

-in

CS大山町発電所（A）

PV plant
management

ModuleCanadian Solar Group

Wafer
Ingot

Acquire PV
plantsPV plantdevelopment

Cell
Same boat
equityGrowthLease PVfacilities

China・Operational:
approx. 259MW・Under development:
approx. 80MW

PV plant

Provide O&M
services

Sponsor Support
Agreement

Latin America

4

ects
proj
y
g
ener

・Operational: approx. 96MW・Under construction: approx. 6MW・Under development: approx. 1.5GW

・Under construction:
approx. 514MW・Under development:
approx. 4.7GW

0Project owner(incl. Recurrent Energy)

APAC (ex Japan and China)

100

Canadian Solar Infrastructure Fund, Inc.

are being built and developed globally

Global Sponsor Pipeline (panel output) (Note1) (Note2) (as of Sep. 30, 2020)

（MW）
400

The image of the value chain of renewable energy business at Canadian Solar Group

teg

ra

m
te d

od

（incl. sponsor）

el

Developer

Canadian Solar Projects K.K.

$

O&M provider

Canadian Solar O&M Japan K.K.

Stable Bank Formation
As of December 31, 2020, CSIF has successfully achieved obtainment of debt financing from a total of 13 banks centering on Shinsei Bank, Ltd.,
3 megabanks, and other large financial institutions. This is because the credibility and operational stability of CSIF are healthy enough for banks
to provide debt financing, and we believe that additional financing for future acquisitions of new assets can be obtained in stable manner.

Global Offering
In the past two public offerings, about half of the units issued by CSIF were issued in overseas markets. By having foreign institutional
investors as unitholders, Canadian Solar Asset Management K.K., the asset manager of CSIF, operates the fund while being conscious of
global standards of infrastructure fund management. Additionally, the base of candidate investors can be broadened so that the liquidityof units is heightened and future public offerings are conducted stably.
5

Aim to support the growth of Renewable Energy Industry
as the leading listed Infrastructure Fund
Q1

Q2

Q3

How is the asset manager of theInvestment Corporation operating thebusiness surrounding power plants?

What are the initiatives taken by theasset manager of the Investment
Corporation for the internal growth of theInvestment Corporation?

What are the initiatives undertaken by
the asset manager in terms of finance,accounting and IR for the managementof the Investment Corporation?

A

A

A

The Investment Corporation holds power generating facilities andAs described in the answer to Q1, the asset manager takes a

The asset manager conducts the operation and management ofother assets related to solar power generation business, and thesehands-on approach to managing the assets of the Investment

assets, with a sufficient understanding of their characteristics as

are underlying assets for trust beneficiary rights held by the

Corporation. To increase lease revenue even modestly under theinvestment products. In fund procurement, professionals who have

Investment Corporation. The electric power sales business itself isfeed-in tariff (FIT) regime, we have concluded specified wholesale

extensive experience and financial knowledge regarding the capitalconducted by the lessees of the underlying assets. Moreover, thesupply agreements with Minna-Denryoku, Inc. and Zero Wattmarket and banking transactions in both equity and debt are

day-to-day maintenance and management of the solar power

Power Inc. Premiums added to FIT prices, albeit in small amounts,

engaged in business operations. Moreover, in the financial andgeneration business are outsourced to operations & maintenancewill lead to a potential increase in rent revenue. The introduction ofmanagerial aspects and the formulation of forecasts, persons who(O&M) service companies of the sponsor group. The asset manager

a feed-in-premium (FIP) system has been promoted, centering on

have extensive experience and knowledge in accounting and tax

also hires personnel who have experience in the development andextra high voltage solar power plants for this reason. To increaseaffairs are mainly in charge of managing detailed cash flow

operation of renewable energy business and professionals with

operating revenue, operating income, etc., we are eager to makemodels. Further, to provide the best investment opportunities to allknowledge and insight related to real estate, partly because theself-reliant efforts wherever possible, including solar power plants

investors, we manage our operations by ensuring elaborate

rents paid by the lessees are linked with electric power sales

in the Kyushu region where online power control equipment isfinancial account settlement operations and future performance

results. Accordingly, the asset manager has a hands-on attitude

proactively introduced and efforts are made to minimize the impact

forecasts, working with outside experts as needed.

toward the operation of business surrounding power plants andof power control.

In investor relations, we strive to ensure the rapid and accurate

sufficiently liaises with O&M service companies, rather than leaving

disclosure of information to retail and institutional investors forit entirely to them. We believe that this ensures the more efficient

their reference in investing in the Investment Corporation.

and appropriate operation of the business.

Moreover, persons with experience in IR-related operations leadinitiatives to engage in dialogues with investors by participating in
events for investors and holding meetings with them.

Executive Director
Canadian Solar Infrastructure Fund, Inc.
CEO and Representative Director
Canadian Solar Asset Management K.K.

Tetsuya Nakamura

67T o C a rb o n Ne utr a lity
PM Suga in October of 2020 set a target to achieve zero greenhouse gas emissions by 2050 in his general policy speech.
Given the policies and forecasts released by the Japanese government, CSIF believes that renewable energy may make up a larger
portion of the supply of electricity generated in Japan.

Long-term goal to reducegreenhouse emissions

Zero greenhousegas emissions

Pledge to maximize use ofrenewable energy sources

×

Renewable energy to bepromoted as themain power sourceby 2050

in Japan’s energy mix

Extensive utilization ofelectric cars

×

All newly soldpassenger cars to beelectric cars
by mid-2030

Commence discussions
on carbon pricing rule＋

Actively devise
legislation on pricing
of carbon emissions

Feature Story

ESG finance and Japan’scarbon neutrality policies

Investments and loans made bytaking into account not only

Increase in renewableenergy within total energy mix

Increase electricity supply tomeet rising electricity demand

Promote use ofrenewable energy

conventional financial information
but also non-financial information,
comprising environmental, socialand governance factors, are called

Note:“Electric cars”refers to electric cars, fuel-cell vehicles, plug-in hybrid cars and hybrid cars. The same shall apply heretofore.

ESG finance. ESG finance has
attracted worldwide attention andin the last several years has been expanding dramatically in

Aiming to Achieve Carbon Neutrality

Japan. Needless to say, ESG finance has had a favorable impact
on investments in investment units offered by the Investment

A shift to renewable energy as the main energy source and the maximum level of adoption are crucial for achieving a carbon neutral

Corporation, loans from banks and the issuance of green bonds.

society by 2050.

As ESG finance evolves and expands both in terms of quality

Ratio of Renewable Energy
in total Energy Mix
Target : 36～38％
Renewable Energy（%） Fossil fuel
100
80

37.1

60

6.8

40
20

8

20.0
～22.0
2.0

■ Energy related CO2 emissions (electricity)：35.7%■ Energy related CO2 emissions (non electricity)：49.1%■ Non energy related CO2 emissions：6.3%
2 8.8%■ Greenhouse gas emissions other than CO：

31.9
6.2

FY2019

21.0

36.0～
38.0

and volume, moves to respond to the initiatives of the Task
Force on Climate-related Financial Disclosures (TCFD) and otheropportunities for similar disclosure as well as "100%renewable" (RE100) and net carbon zero target setting are
becoming increasingly active among global companies andissuing entities. In other words, investors and banks are

Renewable energy
sources

Fossil fuelpositively evaluating these ESG initiatives, while businesses
also have become keenly aware of these initiatives as means toimprove corporate value.
In Japan, since Prime Minister Yoshihide Suga made a policy

19.0

18.0
0

Nuclear Coal
Nature Gas(Incl. LNG)

Breakdown of greenhouse gas
emissions in JapanThe government established a task force in November 2020 to conduct a comprehensive inspection of regulations related torenewable energy, aiming to enable prompt regulatory reforms. This was based on the understanding that it was essential toinspect all regulations that would be a barrier to this goal and to expand and accelerate the regulatory revisions required.
Requests for the relaxation and abolition of a number of regulations concerning locations, systems, markets, coexistence withlocal communities, and other fields have been made and are now being examined.

35.7%
FY2019greenhousegas emissions(1.21bn tons)

Reduced carbon
emissions with theutilization ofrenewable energy

speech in October 2020 on the establishment of goals for
reducing greenhouse gas emissions and achieving carbon
neutrality by 2050, the Japanese government has been
accelerating initiatives toward post-carbon society.
In circumstances where new currents are emerging, someforward-thinking global enterprises are now asking theirbusiness partners to set emission reduction targets, conduct

FY2030Government target

renewable energy procurement, etc. Initiatives to achieve thepost-carbon society are shaping corporate management

Carbon emissions from electricity production makes up 35.7% of total carbon emissions in Japan, and the introduction and wider use of

strategies and leading to the creation of new businessrenewable energy are expected to contribute towards lowering Japan’s carbon emissions.

opportunities.

9

E ff o r t i n E S GIntroduction
Canadian Solar Asset Management K.K. (“CSAM”) serves as an asset manager of Canadian Solar Infrastructure Fund, Inc. (“CSIF”) whichinvests mainly in renewable energy power generation facilities. Canadian Solar Project K.K. (“CSP”) is a developer of PV projects and asponsor for CSIF and CSAM. CSAM together with CSP has contributed to building a sustainable economic society in local regions while
paying a great attention to the global environment. Thus, CSAM has run its asset management business with its focus on the environmental
aspect among the ESG initiatives. In addition, CSAM fully recognizes that considering the social and governance aspects in the asset
management operations is also deemed extremely important by investors and fund managers in Japan and overseas with a focus on SRI.
Under such circumstances, CSAM believes that active, appropriate disclosure of information about its initiatives will be more important
going forward; therefore, CSAM set forth its“Approach into UN PRI” as ESG basic policy late December of 2020.
CSAM has facilitated the “Contribution to the Global Environment” via an increased installment of renewable energy facilities in Japan since
IPO of CSIF. Going forward, CSAM would like to make an opportunity for SRI available for investors by “Realizing A Sustainable Society” and“Vitalizing A Regional Society” as for the social and governance aspects.

Actual initiatives at CSIF’s property (CS Daisen-cho Power Plant)

E

Signatory to UN PRI / CSAM’s approach on UN PRIPower plant carefully developed by protecting the rich environment ofDaisen-cho

The district in which CS Daisen-cho PowerAs of August 13, 2019, our asset manager, Canadian Solar Asset Management K.K. (“CSAM”), became

Plant is located is in close proximity to

the first Japanese asset manager of a listed infrastructure fund to be a signatory to the UN PRI (United

districts known for their diverse and richecological environments with forests, plants

Nations supported Principles for Responsible Investment) to promote ESG (Environmental, Social,

and wild birds. Efforts were made to refrain

Governance) investments.

from using chainsaws when developing the

As a signatory to the UN PRI, CSAM devised an “Approach to UN PRI Guidelines” as of the end of

project to avoid damaging the habitat of rare

December 2020 as its basic ESG policy, which can be found on CSIF’s website as of February 17, 2021.

species of indigenous falcons, while painting

Power sales to renewable energy users through a Wholesale Electricity Supply
Agreement with Minna-denryoku, Inc. and Zero Watt Power Inc.

the fence around the site using camouflage
colors.
The power plant can provide 27MWp of clean

By executing the wholesale electricity supply agreement with Minna-denryoku, Inc. and Zero Watt Power Inc for CSIF’s power plants

regenerated energy, equivalent to electricity

listed below, CSIF contributes to supply FIT electricity to consumers. With respect to electricity consumption of CSIF’s power plants,

for approximately 8,000 households.

purchase of clean energy derived from renewable sources have been started. CSIF believes that the fund contributes to the utilization ofrenewable energy.
Power Plant

Counter Party

Premium Wholesale

Purchase of clean energy

CS Marumori-machi PP

Minna-denryoku

From February 2021

From January 2021

CS Izu-shi PP

From February 2021

From March 2021

CS Mashiki-machi PP

From Fall of 2021

From June 2021

CS Daisen-cho PP (A)(B)

Zero Watt Power

From June 2021

From May 2021

CS Hiji-machi Dai-ni PP

From July 2021

From June 2021

CS Ogawara-machi PP

From May 2021

From July 2021

S

The Daisen Canadian Garden was constructed and donated to the Daisen-cho
Town Government in commemoration of the completion of the power plant as
part of our contribution to local communities under the concept of “harmony
between nature and large-scale solar power plant.” In addition, we repaired Hima
Jinja Shrine and donated an incense holder made of white granite to Shimpukuji
Temple in the same town.

External Certification and Recognition Related to ESG
On May 11, 2020, CSIF obtained Green 1 (F) rating, the highest overall rating in the JCR Green Finance evaluation, for the framework weestablished to limit the use of funds procured through green bonds and green loans to those with environmental improvement effects.
10

11

Po rt f o l i oPortfolio Highlight

As of Jun. 30, 2021

# of Projects

25

Total Acquisition Price

PV Facilities

JPY

Panel Output of AUM

80.00

No.

183.9

bln

MW

(Note)“Total Acquisition Price”is total of the purchase prices based on the sales and purchase agreement for each project.

Total Energy Output for the Period
8th FP Actual Energy Output / 8th FP Projected Energy Output =（MWh）Projected

102.7％
98.6％

25,00020,00015,000100.7％

10,0007,868 7,927

100.49% (corresponding period of the previous year 98.90%)

Actual18,164 17,914

122.1％
8,716

80.2％

20,874 21,452

113.1％

21,257
17,834

17,066

20,174

10,645

5,000
0

Jan.

Feb.

Mar.

Apr.

May.

Jun.

Historical Portfolio Diversification (acquisition price basis）
At IPOEnd of 7th Fiscal Periodended Dec. 31, 2020

65.6％

9.2％

（MW）
200

Historical Valuation and Book Value（after depreciation）
60.9

150
125

30.4
72.7

3.3

10.7

3.4

2.6

50
25

12

60.9

3.4
10.7
3.3
30.4
2.6
72.7

IPO

24.7％

■ CS Hiji-machi Dai-ni PP■ CS Mashiki-machi PP■ CS Daisen-cho PP (A & B)

Valuation price（JPY billion）

175

0

13.1％

21.1％

Historical Panel Output of AUM

75

34.8％

■ CS Mashiki-machi PP■ CS Daisen-cho PP (A & B)
■ CS Izu-shi PP■ CS Mashiki-machi PP■ CS Minami Shimabara-shi PP (east & west)■ CS Hiji-machi PP

100

End of 8th Fiscal Periodended Jun. 30, 2021

40.0％

3.4％
5.8％

Acquired Acquired Acquired Acquired Acquired Acquiredin 2nd FP in 3rd FP in 4th FP in 5th FP in 7th FP in 8th FP

Total

Book value
79.03

80
70
60
47.09

50
40
30
20

50.02 51.49 49.58 48.89

33.86 35.96
42.07 42.67

75.27

46.47 45.57 45.35

30.44 31.11
IPO

2nd
FP

List of Power Plant Assets
Project nameLocation

4th
FP

5th
FP

6th
FP

7th
FP

8th
FP

Panel
output（kW）

S-01

CS Shibushi-shi PP

Shibushi-shi, Kagoshima

540

510

0.64

1,224.00

S-02

CS Isa-shi PP

Isa-shi, Kagoshima

372

341

0.43

931.77

S-03

CS Kasama-shi PP

Kasama-shi, Ibaraki

907

950

1.20

2,127.84

S-04

CS Isa-shi Dai-ni PP

Isa-shi, Kagoshima

778

708

0.89

2,013.99

S-05

CS Yusui-cho PP

Aira-gun, Kagoshima

670

611

0.77

1,749.30

S-06

CS Isa-shi Dai-san PP

Isa-shi, Kagoshima

949

875

1.10

2,225.08

S-07

CS Kasama-shi Dai-ni PP

Kasama-shi, Ibaraki

850

825

1.04

2,103.75

S-08

CS Hiji-machi PP

Hayami-gun, Oita

1,029

945

1.19

2,574.99

S-09

CS Ashikita-machi PP

Ashikita-gun,Kumamoto

989

920

1.16

2,347.80

S-10

CS Minamishimabara-shi PP （East & West）

Shimabara-shi,Nagasaki

1,733

1,656

2.09

3,928.86

S-11

CS Minano-machi PP

Chichibu-gun, Saitama

1,018

1,039

1.31

2,448.60

S-12

CS Kannami-cho PP

Tagata-gun, Shizuoka

514

516

0.65

1,336.32

S-13

CS Mashiki-machi PP

Kamimashiki-gun,
Kumamoto

19,751

20,16325.51

47,692.62

S-14

CS Koriyama-shi PP

Koriyama-shi, Fukushima

246

233

0.29

636.00S-15

CS Tsuyama-shi PP

Tsuyama-shi, Okayama

746

713

0.90

1,930.50

S-16

CS Ena-shi PP

Ena-shi, Gifu

757

765

0.96

2,124.20

S-17

CS Daisen-cho PP （A）（B）

Saihaku-gun, Tottori

10,447

10,01012.66

27,302.40

S-18

CS Takayama-shi PP

Takayama-shi, Gifu

326

311

0.39

962.28

S-19

CS Misato-machi PP

Kodama-gun, Saitama

470

433

0.54

1,082.88

S-20

CS Marumori-machi PP

Igu-gun, Miyagi

850

775

0.98

2,194.50

S-21

CS Izu-shi PP

Izu-shi, Shizuoka

4,569

4,271

5.40

10,776.80

S-22

CS Ishikari Shinshinotsu-mura PP

Ishikari Shinshinotsu-mura

680

645

0.81

2,384.64

S-23

CS Osaki-shi Kejonuma PP

Osaki-shi Kejonuma

208

197

0.24

954.99S-24

CS Hiji-machi Dai-ni Power Plant

Hayami-gun, Oita

27,851

27,87735.27

53,403.66

S-25

CS Ogawara-machi Power Plant

Shibata-gun, Miyagi

2,745

2,744

3.47

7,515.35

80,001

79,037100.00183,973.12

Total
3rd
FP

Acquisition
Investment
Price
price
nt ratio（yen millions）（yen millions）（％）(Note)“Price”refers to the median project valuation report amount, which is the estimated values provided to us by PricewaterhouseCoopers
Sustainability LLC（S01 – S18）and EY Strategy and Consulting Co., Ltd.
（S-19 – S-25）in its project valuation reports as of June 30, 2021.

13

Po rt f o l i o O v e r v ie w

As of Jun. 30, 2021

Pick up
S-24

14

Characteristics

CS Hiji-machi Dai-ni Power Plant

S-25

1

A rare and precious over-50MW panel output
mega solar project in the listed infrastructure
fund market, with JPY40/kWh FIT price2

Taking advantage of good irradiance and highand stable capacity factor

3

Effective economy of scale from large scale
production drawing on high power generation
efficiency and streamlined management costs

4

Determined acquisition price by evaluating
projected power sales revenue with curtailment
factored in

Characteristics

CS Ogawara-machi Power Plant
1

CSIF is the first listed infrastructure fund toacquire a solar power plant equipped with
innovative bifacial solar panels

2

Equipped with bifacial solar panels which are
expected to generate more electricity compared
to standard monofacial panels

3

Contributes to regional diversification of portfolio
as the project is located in the Tohoku region
where CSIF’s investment exposure is low

S-01

CS Shibushi-shi PP

S-02

CS Isa-shi PP

S-03

CS Kasama-shi PP

S-04

CS Isa-shi Dai-ni PP

S-13

CS Mashiki-machi PP

S-14

CS Koriyama-shi PP

S-15

CS Tsuyama-shi PP

S-16

CS Ena-shi PP

S-17

CS Daisen-cho
PP（A）
/
（B）

S-05

CS Yusui-cho PP

S-06

CS Isa-shi Dai-san PP

S-07

CS Kasama-shi Dai-ni PP

S-08

CS Hiji-machi PP

S-18

CS Takayama-shi PP

S-19

CS Misato-machi PP

S-20

CS Marumori-machi PP

S-21

CS Izu-shi PP

S-22

CS Ishikari
Shinshinotsu-mura PP

S-09

CS Ashikita-machi PP

S-10

CS Minamishimabarashi PP（East & West）

S-11

CS Minano-machi PP

S-12

CS Kannami-cho PP

S-23

CS Osaki-shi
Kejonuma PP

S-24

CS Hiji-machi
Dai-ni Power Plant

S-25

CS Ogawara-machi
Power Plant

15

Ⅰ. Asset Management Report
1. Overview of Fund Operation

Fi n a n c i a l S um m a r y(1) Historical Operating Result of the Fund

Financial Soundness Attributed to Fixed Interest Rate Conversion / LTV Level is Under Stable Controls
Fixed-to-variableinterestrateratio(AsatendofJune2021)

LTV(AsatendofJune2021)

95.19

51.97

%

%

（Note）“Fixed-to-variable interest rate ratio”refers to the ratio of fixed interest rate liabilities to total interest-bearing liabilities at that time.

Variable interest rate liabilities that were converted to fixed interest rate liabilities through interest rate swap agreements were deemed as fixedinterest rate liabilities.

Fiscal Period

4th FP

5th FP

6th FP

7th FP

8th FP

Fr. Jan. 1, 2019
To Jun. 30, 2019

Fr. Jul. 1, 2019
To Dec. 31, 2019

Fr. Jan. 1, 2020
To Jun. 30, 2020

Fr. Jul. 1, 2020
To Dec. 31, 2020

Fr. Jan. 1, 2021
To Jun. 30, 2021

Operating Revenue (in JPY mln)

2,185

2,088

2,331

2,413

3,425

(Rental revenue of renewable energy power
plants, out of operating revenue) (in JPY mln)

2,185

2,088

2,331

2,413

3,425

Operating Expense (in JPY mln)

1,368

1,391

1,490

1,555

1,966

(Expense for rental of renewable energy power
plants, out of operating expense) (in JPY mln)

1,234

1,261

1,362

1,409

1,781

Operating Income / Loss (-) (in JPY mln)

817

696

840

858

1,459

Ordinary Income / Loss (-) (in JPY mln)

711

534

692

717

1,074

Net Income / Loss (-) (in JPY mln)

Credit rating
Rating Agency

Subject to Rating

Japan Credit Rating Agency, Ltd.

Renewal Date

Rating Outlook

Long-term Issuer Rating

July 19, 2021

A

StableThe 1st Unsecured Investment
Corporation Bond (only for Qualified
Institutional Investors)

July 19, 2021

Aー

Long-term Issuer Rating

August 12, 2021

A-

StableRating and Investment Information, Inc.

Historical Balance of Interest-bearing Debt
（JPY million）
50,000Loan（short-term）

Loan（long-term）

Bond

534

691

716

1,073

21,482

21,34921,03920,87639,317

Total number of units issued (unit)

231,190

231,190

231,190

231,190386,656

Total Assets (in JPY mln)

45,98150,06949,132

49,052

84,299

(1.7)

8.9

(1.9)

(0.2)

71.9

22,193

21,883

21,731

21,59240,391(vs prior FP) (%)
Total Net Assets (in JPY mln)

(0.5)

(1.4)

(0.7)

(0.6)

87.1

Interest-bearing Liabilities (in JPY mln)

(vs prior FP) (%)

23,513

27,97326,931

27,142

43,376

Net Asset Value per Unit (Base price) (in JPY)

95,996

94,65693,99893,397

104,463

Total Distribution (in JPY mln)

843

843

855

855

1,430

Distribution per Unit (in JPY)

3,650

3,650

3,700

3,700

3,700

(DPU excl. distribution in excess of earnings, in JPY)

3,073

2,310

2,992

3,099

2,776

(Distribution in excess of earnings per unit, in JPY)

577

1,340

708

601

924

Return on Assets (Note 4) (%)

1.5

1.1

1.4

1.5

1.6

法定ページ開始
3.2
2.4

2.8

2.9

3.2

3.2

3.3

3.5

(annualized ratio) (%)
Return on Capital (Note 4) (%)

40,00030,000

6.4

4.8

6.4

6.6

7.0

48.3

43.7

44.2

44.0

47.9

0.6

(4.6)

0.5

(0.2)

3.9

100.0

100.0

100.0

100.0

100.0

Number of Days for FP (days)

181

184

182

184

181

Number of Invested Asset as of End of FP

20

21

21

23

25

Depreciation Expenses (in JPY mln)

813

839

911

913

1,258

[Other Information]

2017

2018

2019

2020

2021

2022

2023

2024

2025

2026

2027

2028

2029

2030

(Note) Amount after 2021 is based on the forecast as of August 13, 2021.

CAPEX (in JPY mln)

I n f o rm a t i on f o r Unitho ld ers

End of fiscal period
Dividend payment record date
Listed financial instruments exchange
Unitholders’meeting

Public announcement newspaper

Administrator of unitholder list etc.
[Contact information]

54

6

10

44

107

Rental NOI (Note 4) (in JPY mln)

1,764

1,665

1,881

1,918

2,902

FFO (Funds from Operation) (Note 4) (in JPY mln)

1,523

1,374

1,604

1,630

2,332

FFO per Unit (Note 4) (in JPY)

6,591

5,943

6,938

7,053

6,031

Interest-bearing Liabilities Ratio (Note 4) (%)

51.1

55.9

54.8

55.3

51.5

(Note 1) Fiscal periods of the fund are six months for January 1 to June 30 and July 1 to December 31 every year.
(Note 2) Consumption taxes are not included in the operating revenue etc.
(Note 3) Unless otherwise described, the numbers are rounded down and the ratio are rounded up or down.
(Note 4) The calculation methods are as below.

Memorandum for Unitholders

16

2.2

(annualized ratio) (%)

Distribution Payout Ratio (Note 4) (%)

10,000

3.1

Capital Ratio (Note 4) (%)(vs prior FP) (%)

20,0000710

Unitholders’ Capital (net) (Note 5) (in JPY mln)

June 30 and December 31

June 30 and December 31（payment is to be made within 3 months after the date）
Tokyo Stock Exchange（securities code: 9284）
Once a every 2 years

Nihon Keizai Shimbun（Nikkei）

Sumitomo Mitsui Trust Bank, Limited

Return on Assets

Ordinary Income / { (Total Assets at Beginning of FP + Total Assets at End of FP) / 2 } x 100

Return on Capital

Net Income / { (Net Assets at Beginning of FP + Net Assets at End of FP) / 2 } x 100

Capital Ratio

Net Assets at End of FP / Total Assets at End of FP x 100

Distribution Payout Ratio

DPU excl. distribution in excess of earnings / Net Income x 100

Rental NOI

Rental Revenue for renewable energy power generation facilities – Rental Expenses for renewable energy
power generation facilities + Depreciation Expenses

FFO

Net Income + Depreciation Expenses + Profit from sales of renewable energy power generation facilities

FFO per unit

FFO / The number of total issued units

Interest-bearing Liabilities Ratio

Interest-bearing Liabilities / Total Assets x 100(Note 5) Deductible amount for unitholders’ capital is deducted from the gross amount of unitholders’ capital.

Izumi 2-8-4, Suginami-ku, Tokyo 168-0063
Sumitomo Mitsui Trust Bank, Limited
TEL: 0120-782-031

17
17

Ⅰ. Asset Management Report(2) Overview of the Fiscal Period under Review

a. Brief History of Canadian Solar Infrastructure Fund
Canadian Solar Infrastructure Fund, Inc. (hereinafter referred to as “CSIF”) was established on May 18, 2017 with money invested of 150
million yen (1,500 units) by Canadian Solar Asset Management K.K. (hereafter referred to as the “Asset Manager”) as the founder underthe Act on Investment Trusts and Investment Corporations (Act No. 198 of 1951 including subsequent amendments; hereinafter referred toas the “Investment Trusts Act”). Registration with the Kanto Local Finance Bureau was completed on June 9, 2017 (registration number
127, filed with the Director of the Kanto Local Finance Bureau).
CSIF issued additional investment units (177,800 units) through a public offering on October 27, 2017, listed its investment units on
Tokyo Stock Exchange Inc.’s (hereinafter referred to as the “Tokyo Stock Exchange”) Infrastructure Fund Market on October 30, 2017(security code: 9284), and issued new investment units (2,890 units) through third-party allotment on November 28, 2017.
In addition, CSIF issued new investment units (46,667 units) through public offering on September 5, 2018 and issued new investment
units (2,333 units) through third-party allotment on October 4, 2018.
CSIF then issued new investment units (151,500 units) through public offering on March 5, 2021 and issued new investment units (3,966
units) through third-party allotment on April 7, 2021. As a result, the total units issued at the end of the fiscal period under review (as ofJune 30, 2021) were 386,656 units.
b. Investment Environment
Real GDP in January-March 2021 declined by 1.3% quarter on quarter (5.1% on an annualized basis), the first drop in three quarters.
Although exports held up reasonably well, especially exports of capital goods and IT-related goods, consumer spending dropped,
particularly for services, following the declaration of a second state of emergency, and capital spending saw a similar decline, reflecting apause in demand in anticipation of the resumption of economic activity. Similarly, in the April-June 2021, consumer spending dropped for asecond straight quarter due to the declaration of a state of emergency but strong growth in capital expenditure and housing investment
made up for the slump in consumption and, as of the date of this report, real GDP is expected to grow 0.4% quarter on quarter (1.5% on anannualized basis), marking the first growth in two quarters.
On the stock market in Japan, the Nikkei Stock Average reached ¥30,084 on February 15, 2021, closing above the ¥30,000 mark for the
first time in over 30 years since August 1990. In the US and Europe, COVID-19 vaccination programs were gradually rolled out andexpectations for economic recovery increased. As a result, real GDP growth for October-December 2020 surpassed expectations and thisappears to have driven stock market gains. Despite occasional rallies in economically sensitive stocks, fueled by hopes for a global
economic recovery, the Japanese stock market seesawed, reflecting a rise in COVID cases in Japan and speculation of a early QE taper in
the US in addition to profit taking, and the Nikkei Stock Average closed at ¥28,791.53 on June 30.
After the TSE Infrastructure Fund Index fell to a record low of 1,125.83 points on February 2, the Infrastructure Fund Market remained
mostly robust, with the index reaching a record high of 1,201.71 on June 9. Whereas the Nikkei Stock Average was influenced by theeffects on the Japanese economy of the declaration of a third state of emergency, the Infrastructure Fund Market saw public offerings by six
infrastructure funds in quick succession between August 2020 and February 2021, and the TSE Infrastructure Fund Index closed at
1,179.55 at the end of June as the investment unit prices of listed infrastructure funds held firm during January-June 2021, reflecting
renewed interest in the high level of distribution yields and growing investor interest in renewable energy amid Japan's decarbonization
strategies.
"Output curtailment," which is implemented by an electricity transmission and distribution business operator (Note 1) to adjust the supplydemand balance, was implemented, with respect to “renewable energy power generation facilities” (Note 2) held by CSIF, for one day inJanuary, five days in February, 12 days in March, 21 days in April, 15 days in May and 3 days in June, totaling 57 days during the period
under review. The primary reasons for the considerable increase in frequency of output curtailment compared with the previous fiscal period
are that the No. 1 and No. 2 reactors at Sendai Nuclear Power Plant, which were shut down on March 16, 2020 and May 20, 2020
respectively, to install anti-terrorism functions called facilities for dealing with specific severe accidents, resumed power generation on
November 19, 2020 and December 24, 2020 respectively, and that the regular inspection of the No. 4 reactor at the Genkai Nuclear Power
Plant started on December 19, 2020 was completed on March 19, 2021 and the reactor resumed power generation on March 19, 2021.
Kyushu Electric Power Transmission and Distribution Co., Inc. revised its output curtailment operation procedures from FY2021. Whenthe number of days of output curtailment for a business operator subject to the old rule (Note 3) is expected to exceed 30 days in any fiscal
year, Kyushu Electric Power Transmission and Distribution Co., Inc. will now uniformly curtail (apply the same curtailment pattern (%curtailment of plant's rated output) to uniformly curtail by the hours and amount necessary all business operators subject to the designatedbusiness operator rule (Note 3), whilst making full use of the maximum 30 days’ output curtailment for business operators subject to the old
rule.
Meanwhile, the Chugoku Electric Power Company, Inc. disclosed its "Basic Approach to Renewable Energy Output Curtailment
Operations" on its website on January 22, 2020.
According to Mizuho Securities Co., Ltd., power demand in April-June 2021 based on the statistics of the Organization for Crossregional Coordination of Transmission Operators (OCCTO) was higher than in April-June 2020 but was still not enough to recover the
ground lost in April-June 2019 versus April-June 2020. The region with the highest growth in power demand in April-June 2021 was
Chubu, followed by Chugoku, and then Okinawa. According to OCCTO's Electricity Supply-Demand Outlook for Summer, every region isestimated to have a reserve margin of around 5.9% even in the event of the kind of heat wave that occurs once every 10 years, and therisk of a tight electricity supply is believed to be limited.
On October 26, 2020, at the 203rd extraordinary session of the Diet, Prime Minister Yoshihide Suga declared the goal of achieving
overall zero emissions of greenhouse gases by 2050, that is the creation of a carbon neutral, decarbonized society. Since this declaration,
activities for the realization of a decarbonized society have picked up pace, and with countries announcing their targets for slashinggreenhouse gas emissions at a global climate summit held in April 2021, Japan also set a new 2030 reduction target of 46% compared with
2013 levels and announced that it would continue its challenge towards a 50% reduction. This represents a drastic increase from Japan's
previous target of a 26% reduction.
Then, in June 2021, the Ministry of Economy, Trade and Industry published the FY2020 Annual Report on Energy (Japan's Energy
White Paper 2021). This report includes an analysis under the heading "Changes in the situation concerning energy" to the effect that whilemore and more countries, including Japan, are declaring that they will become carbon neutral, private-sector enterprises are also stepping
up initiatives for decarbonization, with an increase in ESG investment and diversification of investment strategies in the financial services
sector and an increasing number of non-financial corporations signing up to the RE100 initiative or otherwise declaring that they will
become carbon neutral. In some cases, companies are not only reducing greenhouse gas emissions associated with their own energy

18

consumption but are also seeking to reduce the carbon footprint in their supply chains (and using carbon trading to achieve targets) and lowcarbon energy access will affect competitiveness as a location for industry in the future (in competition between countries and competition
between cities and regions). Under the heading "Path to becoming carbon neutral by 2050," the report also stresses that to realize a carbon
neutral society, it is necessary to pursue decarbonization through expansion of low carbon resources in the electricity sector and throughelectrification, use of hydrogen for heating where electrification is impossible, and capture and reuse of any remaining CO2 (conversion tomethane or synthetic fuel, etc.) in non-electricity sectors (industrial, consumer and transport sectors).
In February 2021, details (detailed design of FIP system, detailed design of system for nullifying approvals, reserve of decommissioning
costs for solar power generation facilities) of the amendment to the Act on Special Measures Concerning Procurement of Electricity from
Renewable Energy Sources by Electricity Utilities (hereinafter referred to as the "2020 Amendment to the Renewable Energy Special
Measures Act") included in the Act to Partially Amend the Electricity Business Act and other Acts to Establish a Resilient and Sustainable
Electricity Supply System (hereinafter referred to as the "Act for Establishing Energy Supply Resilience"), which been examined so far by
METI's various subcommittees and working groups, were summarized and announced. For details of the risks which might arise as a resultof such amendment, please refer to "I. Fund Information, 1. Fund Status, 3. Investment Risks" in the most recent annual securities report(submitted on March 30, 2021).
Given that the basic policy for the detailed design of a market-based FIP scheme is that the FIP scheme is a step towards creating arenewable energy market which is FIT-independent, each constituent element of the FIP scheme is designed as an intermediate step awayfrom the FIT scheme towards competition with other power sources under the same conditions. However, since the photovoltaic power
generation facilities, etc. owned by CSIF sell electricity under the FIT scheme and this will not change even after enactment of the 2020
Amendment to the Renewable Energy Special Measures Act, it is considered unlikely that the purchase prices of the operational
photovoltaic power generation facilities of CSIF will be affected.
As for the detailed design of the system for nullifying approvals, it was proposed that nullification decisions should be made based onwhether sufficient progress has been made at the point falling one year after the commercial operation date (COD) deadline. However,since the photovoltaic power generation facilities, etc. owned by CSIF have already started selling electricity under the FIT scheme, evenwhen the abovementioned system for nullifying approvals is introduced, certification of the photovoltaic power generation facilities, etc.
owned by CSIF will not be nullified as a result.
As for the system to ensure a reserve of decommissioning costs for solar power generation facilities (Note 4), (i) this will apply to all FITand FIP-certified solar projects (includes multiple solar projects) of 10 kW or more. (ii) As for the reserve method, the 2020 Amendment to
the Renewable Energy Special Measures Act stipulates that certified solar project developers must reserve the decommissioning costs
externally at the Organization for Cross-regional Coordination of Transmission Operators (OCCTO) through direct withholding of therequired amounts from revenue, in principle. The 2020 Amendment to the Renewable Energy Special Measures Act stipulates that suchexternal reserves for FIT-certified projects should be made via the utilities that are obliged to purchase the electricity. More specifically, it
has been decided to design a system to enable the offset of decommissioning cost reserves and purchasing costs between FIT-certified
project developers and the utilities obliged to purchase the electricity and the offset of decommissioning cost reserves and premiums
between the utilities obliged to purchase the electricity and the body implementing the system. (iii) As for the level of reserves and the unit
price, the estimated decommissioning costs used to calculate the procurement price (in the case of the FIT scheme) and the reference
price (in the case of the FIP scheme) will be set according to capacity utilization factor on a per 1 kWh of electricity supplied basis. The
2020 Amendment to the Renewable Energy Special Measures Act stipulates that the decommissioning reserve base price (the amount tobe reserved per 1 kWh of electricity supplied by the certified project developer) will be determined in line with the opinion of the
Procurement Price Calculation Committee, and the Procurement Price Calculation Committee published its opinion on thedecommissioning reserve base price in light of the foregoing in "Opinion on procurement price for FY2021 (April 2021 to March 2022) andbeyond" (released in January 2021). (iv) As for the timing and frequency of reserve deposits, decommissioning costs must be reserved from
10 years prior to the end of the applicable procurement period or period for which the premium will be granted and are to be deposited upon
payment of the procurement price payment or the granting of premiums (currently monthly). (v) Regarding the internal reserve of
decommissioning costs, which is permitted in exceptional cases, projects which satisfy stringent conditions in relation to long-term stable
power generation and funding will also be permitted to reserve decommissioning costs internally, in order to encourage long-term stable
power generation projects and minimize decommissioning due to replacement and suchlike. An entity reserving decommissioning costs
internally will be required to deposit them in a bank account which can only be used for specific purposes or record them in financial
statements audited by an accountant who is obliged to disclose information to financial instruments exchanges, and it will also be required
to secure them with insurance or a guarantee to increase the probability of funding decommissioning. (vi) The mandatory reserve system
will be introduced on July 1, 2022 and will gradually phased in according to the end date of the procurement period or grant period of eachproject.
While not part of the amendments under the Act for Establishing Energy Supply Resilience, discussions on adjustments to power
producer-side charges (previously referred to as "power producer-side base charges") in relation to FIT energy sources were resumed at
the Subcommittee on the Large-volume Introduction of the Renewable Energy and Next Generation Electric Network in May 2021.
Firstly, the figure indicated as the national average maximum amount payable per kWh of solar power produced due to the introductionof kWh charges was 0.97 yen/kWh compared to 1.45 yen/kWh, as previously indicated.
It was further indicated that, in the case of projects that had already been approved, the pass-through of charges to retail electricbusiness operators (in the case of purchase by retail electric business operators) and equivalent adjustments (in the case of purchase byelectricity transmission and distribution business operators) would reduce the amount payable by an average of 0.5 yen and that the
average amount payable in real terms would be 0.47 yen.
Adjustment of the amount still payable after pass-through in the case of approved projects involving purchase by retail electric business
operators was also discussed, taking the following patterns indicated by the secretariat into consideration. However, it was decided thatfurther deliberation was needed due to differing opinions on adjustment for solar power for projects during the period under consideration
for profit margin analysis.
Patterns of adjustment
A) Adjustment of total amount payable through surchargeB) Adjustment of part (0.25 yen/kWh) of amount payable through surcharge and payment of remainder by renewable energy developer
C) Payment of total amount payable by renewable energy developer
Finally, in relation to newly approved projects which will all involve purchase by electricity transmission and distribution business
operators, it was agreed to request that the Procurement Price Committee proceed with discussions on the assumption that the amountequivalent to the pass-through to electricity retail utilities (0.5 yen/kWh as a national average) needs to be subject to adjustment.

19

Ⅰ. Asset Management Report
CSIF will monitor the outcome of the discussions as these system changes could affect the assets owned by CSIF and any renewableenergy power generation facilities, etc. CSIF may acquire in the future.
(Note 1) For the purposes of this report, the term "electricity transmission and distribution business operator" collectively refers to a "generalelectricity transmission and distribution business operator" defined in Article 2, Paragraph 1, Item 9 of the Electricity BusinessAct and "specified electricity transmission and distribution business operator" defined in Article 2, Paragraph 1, Item 13 of theElectricity Business Act.
(Note 2) For the purposes of this report, the term "renewable energy power generation facilities" refers to renewable energy power
generation facilities (excludes facilities which fall into the category of real estate) defined in Article 2, Paragraph 3 of the Act on
Special Measures Concerning Procurement of Electricity from Renewable Energy Sources by Electricity Utilities (Act No. 108 of
2011, including subsequent amendments; hereinafter referred to as the Renewable Energy Special Measures Act). For the
purposes of this report, the term "renewable energy power generation facilities, etc." collectively refers to renewable energy
power generation facilities as well as real estate, real estate leases (includes subleases) or land lease rights (hereinafter referred
to as the “site, etc.”) necessary to install, maintain and operate renewable energy power generation facilities. The same shallapply hereunder.
(Note 3) Even when a grid-connected business operator has implemented the preventive measures defined in the Ordinance for
Enforcement of the Act on Special Measures Concerning Procurement of Electricity from Renewable Energy Sources (METI
Ordinance No. 46 of 2012, including subsequent amendments), if the amount of electricity supplied by grid-connected business
operators is expected to exceed demand, output curtailment without compensation under the connection agreement may berequired. The rule setting the maximum number of days of such output curtailment at 30 days a year (360 hours a year in somecases) is referred to as the "old rule" and business operators to which the old rule applies are referred to as "business operators
subject to the old rule." The rule which allows designated business operators to request output curtailment without a time limit
and without compensation targeting grid-connected power generation facilities operated by business operators which applied forconnection once additional applications were no longer being accepted without curtailment of output in excess of the output
curtailment limit under the old rule is referred to as the "designated business operator rule" and the business operators to which
the designated business operator rule applies are referred to as "business operators subject to the designated business operator
rule." The same shall apply hereunder.
(Note 4) The term “photovoltaic power generation facilities” refers to renewable energy power generation facilities that generate electricity
using sunlight as an energy source. The same shall apply hereunder. The term “photovoltaic power generation facilities” refers tophotovoltaic power generation facilities as well as their site, etc. The same shall apply hereunder.

c. Management Performance
During the previous fiscal period, CSIF acquired two facilities (total panel output (Note 1) of 3.3MW and total acquisition price (Note 2) of¥880 million) on September 28, 2020, by using borrowings and cash on hand. As a result, CSIF held a portfolio consisting of a total panel
output of 123.0MW, a total acquisition price of ¥49,400 million and a total price (Note 3) of ¥48,890 million as of the end of the previous
fiscal period. During the fiscal period under review, CSIF acquired two facilities (total panel output of 60.9 MW and total acquisition price of¥30,590 million) on March 8, 2021, using part of the proceeds from a public offering and borrowings. As a result, it held a portfolio
consisting of 25 facilities with a total panel output of 183.9 MW, a total acquisition price of ¥80,000 million, and a total price of ¥79,300
million as of the end of the fiscal period under review and continued to be a large operator among listed infrastructure funds.
(Note 1) “Panel output” shall mean output calculated by multiplying rated output per solar cell module (meaning the maximum output statedin specifications of solar cell module) used in each solar energy facility by the total number of panels. The same shall apply
hereunder.
(Note 2) “Acquisition price” shall mean the sale and purchase price (excluding outsourcing service fees and other acquisition expenses
related to the acquisition of assets, property-related taxes, urban planning taxes, consumption taxes and other fees and charges)
described in the sale and purchase agreement pertaining to each asset acquired. It shall be rounded down to the nearest ten
million yen. The same shall apply hereunder.
(Note 3) “Price” shall mean the total intermediate value calculated by CSIF pursuant to paragraph 1, Article 41 of its Articles ofIncorporation, using the appraised value as of December 31, 2020 and June 30, 2021, in the range stated in the valuation reportobtained from PricewaterhouseCoopers Sustainability LLC. for the renewable energy power generation facilities at power plantsfrom S-01 through S-18. The appraised value of renewable energy power generation facilities at power plants from S-19 throughS-25 is the total appraised value as of December 31, 2020 and June 30, 2021, stated as the median in the valuation reportobtained from EY Strategy and Consulting Co., Ltd.

d. Overview of Financing(a) Issuance of investment corporation bonds
On January 26, 2021, CSIF issued the 1st Unsecured Investment Corporation Bonds (Green Bonds) with a total issue amount of ¥3,800
million. The estimated amount of net proceeds from the investment corporation bonds was applied in part to the early repayment ofborrowings of ¥981 million from Mizuho Bank, Ltd. on March 8, 2021 and in part to the early repayment of borrowings of ¥623 million from
Shinsei Bank, Limited on May 14, 2021, and was also applied in part to the early repayment of borrowings of ¥4,249 million from a loan
syndicate with Shinsei Bank, Limited as arranger and MUFG Bank, Ltd. as co-arranger, together with part of the funds raised through the
public offering described in "(b) Issuance of new investment units and borrowing of funds" below.
(b) Issuance of new investment units and borrowing of funds
CSIF issued new investment units of ¥18,106 million by public offering with March 5, 2021 as the payment date and borrowed funds of¥17,000 million yen from a loan syndicate with March 8, 2021 as the execution date from Shinsei Bank, Limited, Sumitomo Mitsui Banking
Corporation, and Mizuho Bank, Ltd., as arranger and MUFG Bank, Ltd. and Sumitomo Mitsui Trust Bank, Limited, as co-arranger, 2,300
million yen from Shinsei Bank, Limited, Sumitomo Mitsui Bank, and Mizuho Bank, Ltd. and used part of the funds raised through theissuance of new investment units together with the funds raised through borrowing to finance the acquisition of two photovoltaic power
generation facilities acquired in the fiscal period under review and to pay related expenses.
An outline of such issuance of new investment units through public offering is as follows.
(1) Number of new investment units offered: 151,500 units(2) Amount paid (issue amount): ¥119,517 per unit
(3) Total amount paid (total issue amount): ¥18,106,825,500(4) Issue price (offer price): ¥125,115 per unit
(5) Total issue price (total offer price): ¥18,954,922,500(6) Payment date: Friday, March 5, 2021
Part of the funds raised through the issuance of new investment units by public offering described above was combined with part of theestimated amount of net proceeds from the 1st Unsecured Investment Corporate Bonds (Green Bonds) described in "(a) Issuance ofinvestment corporation bonds" above and applied to the early repayment of borrowings of ¥4,249 million from a loan syndicate with Shinsei
Bank, Limited as arranger and MUFG Bank, Ltd. as co-arranger on May 31, 2021.
CSIF also raised ¥474 million through the issuance of new investment units through third-party allotment resolved at the same time as
the issuance of new investment units described above. These funds will be kept as cash on hand and will be used to partly fundacquisitions in the event of new asset acquisitions in the future and to partly fund the repayment of borrowings.
An overview of the issuance of new investment units through third-party allotment is as follows.
(1) Number of new investment units: 3,966 units(2) Amount paid (issue amount): ¥119,517 per unit
(3) Total amount paid (total issue amount): ¥474,004,422(4) Payment date: Wednesday, April 7, 2021(c) Other, status of borrowings, etc.
Due to a contractual repayment of ¥ 1,011million at the end of the period, together with the early repayment of borrowings and new
borrowing described in "(a) Issuance of investment corporation bonds" and "(b) Issuance of new investment units and borrowing of funds"
described above, the amount of borrowings as of the end of the period under review came to ¥ 38,476million. Consequently, the ratio ofinterest-bearing debt to total assets (ratio of interest-bearing debt to total assets at the end of fiscal period) was 51.5%.
(d) Rating
CSIF received a bond rating for its First Unsecured Investment Corporation Bonds from the following rating agency.
Rating status of CSIF as of th
Rating Agency

Japan Credit Rating Agency, Ltd.
(JCR)

Rating Subject

RatingRatingOutlookThe 1st Unsecured Investment Corporation Bond
(Specified investment corporation bonds with limited inter-bond pariA-

passu clause and for qualified institutional investors only)

CSIF received a credit rating from the following rating agency
Rating status of CSIF as of today
Rating Agency

Rating Subject

Rating and Investment Information,
Inc. (R&I)
Japan Credit Rating Agency, Ltd.
(JCR)

20

RatingRatingOutlookA-

StableA

StableLong-term Issuer Rating21

Ⅰ. Asset Management Report
e. Overview of Business Performance and Distributions
As a result of the management described above, the business results in the fiscal period under review included operating revenue of¥3,425million, operating income of ¥1,459, ordinary income of ¥1,074, and net income of ¥1,073million.
Pursuant to the cash distribution policy set forth in Article 47, Paragraph 1 of its Articles of Incorporation, CSIF shall distribute an amountin excess of the amount equivalent to 90% of its distributable earnings as defined in Article 67-15 of the Act on Special Measures
Concerning Taxation.
In addition, distributions in excess of earnings are calculated on the premise that such distributions will generally be made in accordancewith the cash distribution policy prescribed in CSIF’s Articles of Incorporation and the Asset Manager’s asset management guidelines
formulated as part of its internal regulations.
CSIF intends to make cash distributions to its unitholders for each fiscal period from free cash flow (hereinafter referred to as “FCF”)
generated by its renewable energy power generation facilities, in amounts determined in the following manner. The amount available for
distribution shall be calculated by multiplying FCF, that is net cash flow (hereinafter referred to as “NCF”; CSIF shall incorporate the total
amount of NCF remaining after deducting distributions for the preceding fiscal periods in calculating NCF) to be vested to equity investors
after deducting FCF payable to debt investors, by a certain ratio (hereinafter referred to as “payout ratio”; the payout ratio for the 8th fiscal
period is 92.3%) determined by CSIF in light of the amount of NCF for each fiscal period.
At the same time, CSIF intends to maintain a stable level of distributions for the time being. In determining the payout ratio describedabove, CSIF will consider the forecast NCF for each fiscal period to realize that level of distributions.
In addition to a cash distribution within the range of profit, CSIF intends to make distributions in excess of earnings for each fiscal period
on a continuous basis in order to realize this policy.
In developing its performance forecast (including any revisions thereof) for each fiscal period, in the case where NCF calculated from
actual energy output in a fiscal period (hereinafter referred to as “actual NCF”; CSIF shall incorporate the total amount of NCF remaining
after deducting distributions for the preceding fiscal periods in calculating actual NCF) exceeds NCF projected for the fiscal period(hereinafter referred to as “projected NCF”; CSIF shall incorporate the total amount of NCF remaining after deducting distributions for thepreceding fiscal periods in calculating projected NCF) on the basis of an energy output value projected by professional specialists (P50)
which forms the foundation for the calculation of rents with regard to the renewable energy power generation facilities, CSIF intends to limit
the cash distribution to the amount of projected NCF multiplied by the payout ratio for said fiscal period.
On the other hand, in the case where actual NCF is equal to or below projected NCF, CSIF intends to make a cash distribution for the
fiscal period at the amount of actual NCF multiplied by the payout ratio.
Based on the above policy, CSIF decided to make a distribution for the fiscal period under review of ¥1,430,627,200, equivalent to 91.4% ofprojected NCF for the period (¥1,564,321,798), of which distribution in excess of earnings is ¥357,270,144after deducting dividends for theperiod of ¥1,073,357,056. Dividend per investment unit is ¥3,700 for the fiscal period under review.

(3) Summary of Public Offering etc.

Date

Event

Total number of investment units
issued and outstanding (units)
ChangeBalance

Total amount of unitholders' capital(Note 1) (million yen)
ChangeRemarks

Balance

May 18, 2017

Establishment upon private
placement

1,500

1,500

150

150

(Note 2)October 27, 2017

Capital increase by public
offering

177,800

179,300

16,891

17,041(Note 3)

November 28, 2017

Capital increase by thirdparty allotment

2,890

182,190274

17,315(Note 4)September 5, 2018

Capital increase by public
offering

46,667

228,857

4,509

21,824(Note 5)September 14, 2018

Cash distribution in excessof earnings (refund ofinvestment)-

228,857(147)

21,677(Note 6)

October 4, 2018

Capital increase by thirdparty allotment

2,333

231,190

225

21,902(Note 7)

March 14, 2019

Cash distribution in excessof earnings (refund ofinvestment)-

231,190(420)

21,482(Note 8)September 17, 2019

Cash distribution in excessof earnings (refund ofinvestment)-

231,190(133)

21,349(Note 9)March 17, 2020

Cash distribution in excessof earnings (refund ofinvestment)-

231,190(309)

21,039(Note 10)

September 15, 2020

Cash distribution in excessof earnings (refund ofinvestment)-

231,190(163)

20,876(Note 11)

March 5, 2021

Capital increase by public
offering

151,500

382,690

18,10638,982(Note 12)

March 16, 2021

Cash distribution in excessof earnings (refund ofinvestment)-

382,690(138)

38,843(Note 13)

April 7, 2021

Capital increase by thirdparty allotment

3,966

386,656474

39,317(Note 14)

(Note 1) The amount of deduction of total amount of unitholders’ capital is deducted.
(Note 2) In the establishment of the CSIF, the investment units were issued at an issue price of ¥100,000 per unit. The party who applied for subscription of investment units upon
the establishment is Canadian Solar Projects K.K.
(Note 3) New investment units were issued by public offering for the purpose of raising funds for the acquisition of specified assets at an issue price of ¥100,000 (issue value of¥95,000) per unit.
(Note 4) New investment units were issued to Mizuho Securities Co., Ltd. by third-party allotment at an issue value of ¥95,000 per unit for the purpose of appropriation to a part of
the funds for acquisition of specified assets or part of repayment of borrowings.
(Note 5) New investment units were issued by public offering for the purpose of raising funds for the acquisition of specified assets at an issue price of ¥102,180 (issue value of¥96,625) per unit.
(Note 6) CSIF decided, at a meeting of its Board of Directors held on August 14, 2018, to pay a cash distribution in excess of earnings (refund of investment) in an amount of¥808 per unit for the second fiscal period (ended June 30, 2018), and began to pay it from September 14, 2018.
(Note 7) New investment units were issued to Mizuho Securities Co., Ltd. by third-party allotment at an issue price of ¥96,625 per unit for the purpose of appropriation to a part of
the funds for acquisition of specified assets or a part of the funds for repayment of borrowings.
(Note 8) CSIF decided, at a meeting of its Board of Directors held on February 15, 2019, to pay a cash distribution in excess of earnings (refund of investment) in an amount of¥1,817 per unit for the third fiscal period (ended December 31, 2018), and began to pay it from March 14, 2019.
(Note 9) CSIF decided, at a meeting of its Board of Directors held on August 13, 2019, to pay a cash distribution in excess of earnings (refund of investment) in an amount of¥577 per unit for the forth fiscal period (ended June 30, 2019), and began to pay it from September 17, 2019.
(Note 10) CSIF decided, at a meeting of its Board of Directors held on February 13, 2020, to pay a cash distribution in excess of earnings (refund of investment) in an amount of¥1,340 per unit for the fifth fiscal period (ended December 31, 2019), and began to pay it from March 17, 2020.
(Note 11) CSIF decided, at a meeting of its Board of Directors held on August 14, 2020, to pay a cash distribution in excess of earnings (refund of investment) in an amount of¥708 per unit for the sixth fiscal period (ended June 30, 2020), and began to pay it from September 15, 2020.
(Note 12) New investment units were issued by public offering for the purpose of raising funds for the acquisition of specified assets at an issue price of ¥125,115 (issue value of¥119,517) per unit.
(Note 13) CSIF decided, at a meeting of its Board of Directors held on February 17, 2021, to pay a cash distribution in excess of earnings (refund of investment) in an amount of¥601 per unit for the seventh fiscal period (ended December 31, 2020), and began to pay it from March 16, 2021.
(Note 14) New investment units were issued to Mizuho Securities Co., Ltd. by third-party allotment at an issue value of ¥119,517 per unit for the purpose of appropriation to a partof the funds for acquisition of specified assets or part of repayment of borrowings.

22

23

Ⅰ. Asset Management Report(4) Historical Distributions
Based on the unappropriated earnings of JPY 1,073mln for the 8th FP, after a rounding down for the amount below JPY 1 million, JPY
1,073 million is the distribution for profit. Together with JPY 357 million of distribution in excess of earnings, as the result, JPY 3,700 is the
DPU for the period.
l Period
Unappropriated Earnings or Undisposed Losses(in JPY thousand)4th FP

5th FP

6th FP

7th FP

8th FP

Fr. Jan. 1, 2019
To Jun. 30, 2019

Fr. Jul. 1, 2019
To Dec. 31, 2019

Fr. Jan. 1, 2020
To Jun. 30, 2020

Fr. Jul. 1, 2020
To Dec. 31, 2020

Fr. Jan. 1, 2021
To Jun. 30, 2021

710,506

534,065

691,823

716,565

1,073,432

Retained Earnings (in JPY thousand)Total Distribution (in JPY thousand)

59

16

103

108

75

843,843

843,843855,403855,4031,430,627(3,650)(3,650)(3,700)（3,700）（3,700）Distribution for Profit (in JPY thousand)(DPU, in JPY)

710,446

534,048

691,720

716,457

1,073,357(Distribution for Profit per Unit, in JPY)

(3,073)(2,310)(2,992)（3,099）（2,776）

Distribution in Excess of Earnings (in JPY
thousand)

133,396309,794

163,682

138,945357,270(Distribution in Excess of Earnings per Unit, in
JPY)

(577)

(1,340)

(708)

（601）

（924）

Distribution from Allowance for Adjustment for
Temporary Difference out of Distribution in Excessof Earnings (in JPY thousand)

-

-

-

-

-

(Distribution from Allowance for Adjustment for
Temporary Difference per Unit out of Distribution
in Excess of Earnings per Unit, in JPY)

(-)

(-)

(-)

(-)

（-）

Distribution as Redemption of Capital based on
Tax Law (in JPY thousand)

133,396309,794

163,682

138,945357,270(577)(1,340)

(708)

（601）

（924）

(Distribution as Redemption of Capital based on
Tax Law, in JPY)

(Note) The fund makes distribution in excess of earnings every FP based on its article 47.2. Based on this policy, JPY 357mln which is 28.4% of the depreciation expenses, JPY
1,258mln, is to be distributed as the distribution in excess of earnings. As a result, JPY 3,700 is DPU for the 8th FP.

(5) Operational Policy and Agendas in the Futurea. Outlook for the Future Management
When considering the outlook for the Japanese economy in the second half of FY2021, the status of COVID-19 control measures needs
to be kept in mind. Japan has been slow to roll out vaccinations compared with the United States and Europe and, assuming that the
pandemic drags on through 2021 at the every least, some degree of restriction on economic activity is inevitable. Provided vaccinations
offer some level of protection against infectious variants, come 2022, the rollout of vaccinations and other control measures are expected todrive momentum for self-sustaining recovery around the world including Japan and the Japanese economy could recover at a rate
exceeding its potential growth rate even if the Japanese government gradually withdraws its financial support.
Although the Tokyo Olympics were held as planned, they were held without spectators and a degree of skepticism also need to be
maintained about the economic benefits of the games. Although the Paralympics are also expected to go ahead, these too are expected tobe held without spectators like the Olympics.
Some market analysts are concerned about the fallout for the incumbent administration after it went ahead with Tokyo Olympics andParalympics against strong public opposition. With public opinion polls also showing that support for the Suga administration has alreadyfallen, some analysts expect the risk of political instability to increase ahead of the general election because the government foisted thegames on the Japanese people. The term of office of members of the House of Representatives expires on October 21, 2021, and ageneral election must be held by autumn. The result of the 49th general election of members of the House of Representatives is also
expected to affect the investment management environment.
With respect to the environment surrounding photovoltaic power generation facilities that are included in renewable energy power
generation facilities, as stated in “(I. Overview of the Fiscal Period under Review) b. Investment Environment” above, the output curtailmentthat requires renewable energy power generation operators to temporarily suspend power generation through photovoltaic power
generation facilities, etc. was resumed in areas under the jurisdiction of Kyushu Electric Power from October 2019. However, if renewableenergy adoption continues to expand in the future, output curtailment may also be implemented in other regions besides the Kyushu region
such as the Tohoku region and the Chugoku region. Other energy sources will also be affected by whether or not output is curtailed and, if
so, for how many days. The latest developments concerning the restart of nuclear power plants are as follows.
Residents in 11 prefectures, including Fukui Prefecture, filed a lawsuit against the government, claiming that the decision of the Nuclear
Regulation Authority that the earthquake resistance of Units No. 3 and No. 4 at the Oi Nuclear Power Plant (Oi, Fukui Prefecture) of Kansai
Electric Power Company conformed to the new standards was wrong. The Osaka District Court ruled that the approval was illegal andrescinded the permission on December 4, 2020. The Osaka District Court stated that the decision of the Nuclear Regulation Authority was
an inexcusable mistake that resulted from the omission of necessary examination based on the assumption of earthquake-level disasters.
Meanwhile, the government was dissatisfied with this ruling of the Osaka District Court and appealed to the Osaka High Court on
December 17, 2020, and an appeal hearing began at the Osaka High Court on June 8, 2021.
Regarding provisional dispositions and litigation related to the prohibition of nuclear power plant operation, in a lawsuit in which residents
living in the area surrounding Units No. 3 and No. 4 at Genkai Nuclear Power Plant (Genkai, Saga Prefecture) of Kyushu Electric Power
Company sought an injunction to halt their operation, Saga District Court gave a ruling on March 12, 2021, rejecting the plaintiffs' demands.
Also, in an opposition hearing requested by Shikoku Electric Power Company (hereinafter referred to as "Shikoku Electric"), which was
dissatisfied with the Hiroshima High Court's decision in January 2020 to grant a provisional disposition order to suspend Unit No. 3 of
Shikoku Electric's Ikata plant (Ikata, Ehime Prefecture), the Hiroshima High Court accepted the objection and decided to revoke the24

provisional disposition on March 18, 2021 and it is reported that Shikoku Electric may resume operations at the end of October. Meanwhile,with respect to a request for an order of provisional disposition by residents living in Fukui Prefecture seeking an injunction to halt theoperation of the Mihama, Takahama and Oi nuclear power plants (Fukui Prefecture) of Kansai Electric Power Company, Osaka District
Court rejected the request on March 17, 2021. Furthermore, a ruling on a lawsuit in which residents sought to halt the operation of the Tokai
No. 2 nuclear power plant (Tokai, Ibaraki Prefecture) of Japan Atomic Power Company was given by the Mito District Court on March 18,
2021 and Japan Atomic Power Company was ordered to halt operation due to a lack of well-conceived evacuation plans and a system to
implement them.
Meanwhile, it was announced in August 2020 that all plans for the installation of anti-terrorism facilities known as facilities for dealing
with specific severe accidents in Units No. 3 and No. 4 of the Genkai Nuclear Power Plant (Genkai, Saga Prefecture) had been approvedby the Nuclear Regulation Authority. The deadlines for installation of facilities for dealing with specific severe accidents at Genkai Nuclear
Power Plant are August 24, 2022 for Unit No. 3 and September 13, 2022 for Unit No. 4, and Kyushu Electric Power Company says that it
will continue to work towards early completion, with safety as its first priority.
Because Prime Minister Yoshihide Suga declared the goal of achieving carbon neutrality (a decarbonized society) by 2050 (2050 Carbon
Neutral Goal) at the 203rd extraordinary session of the Diet held on October 26, 2020, activities associated with this goal have been
progressed. At the meeting of the Committee on the Growth Strategy (9th meeting) held on April 12, 2021, "initiatives for becoming carbon
neutral by 2050" were announced by the Ministry of the Environment (MoE). The MoE said that Japan spends about ¥17 trillion yearly on
fossil fuel imports and, according to MoE estimates, Japan's renewable energy potential is up to double the amount of electricity supplied,
and a change of thinking was needed to position renewable energy as an "investment for future generations" rather than a "burden on theJapanese people." It concluded that "world-class investment is needed to be globally competitive" and that "government investment toprime global ESG investment (around ¥3,000 trillion) is important to realize a decarbonization domino effect." It was decided to create a"regional decarbonization roadmap" and to (i) implement nationwide priority measures that can be implemented with applicable advanced
technologies and (ii) create leading model cases (domino start) by 2025, to create as many decarbonization dominos as possible
nationwide by 2030, and to realize decarbonized, sustainable, resilient and vibrant regional communities by 2050. Meanwhile, the Ministryof Economy, Trade and Industry (METI) gave an update (interim report) on its consideration of "Green Growth Strategy Through Achieving
Carbon Neutrality in 2050." The report stated that "this year has been a game changer, with research and development policies andeconomic policies starting to shift. To accelerate this trend, Japan will give further shape to these developments and further increase thepossibility of realizing a carbon neutral society in 2050, including looking to achieve the 2030 emissions reduction target. According to thereport analysis, "(i) the essence of carbon neutral lies in the transformation of behaviors of companies and people which will change
society, and (ii) the transformation of behaviors will cause both providers and users of technology to change the way in which technologies
are used and connected and will trigger a spiral of innovation."
METI presented a rough draft of Japan's Sixth Strategic Energy Policy at 46th meeting of the Strategic Policy Committee under theAdvisory Committee for Natural Resources and Energy on July 21, 2021, in preparation to amend the Strategic Energy Plan, which
provides a medium-to-long term direction for Japan's energy policies. According to materials summarizing the content, the rough draft
indicates the direction of energy policies for achievement of carbon neutrality by 2050 (goal declared in October 2020) along with the newtarget of reducing greenhouse gas emissions by 46% by 2030 and trying to push the reduction as high as 50% (targets declared in April
2021). It positioned "overcoming issues in Japan’s energy supply-and-demand structure" as an important theme and committed tomaximizing efforts to realize Japan’s goal of “S+3E” (the conventional three E’s of energy security, economic efficiency, and environmental
protection, plus safety).
The rough draft states that that a crucial part of energy policies for 2030 is to ensure, with “S+3E” as the basic premise, that renewables
become a major power source and to focus on renewables as an overriding principle, encouraging maximum adoption whilst reducing theimpact on Japanese people and seeking co-existence with local communities. It goes on to list as specific initiatives (i) ensuring renewables
are developed in the right places, coexisting with local communities, (ii) tightening project discipline, (iii) reducing costs and integrating
renewables into the energy market, (iv) overcoming grid constraints, (v) rationalizing regulation and (vi) promoting the development oftechnologies.
The ambitious new power-source composition for 2030 would be 36-38% for renewable energies (up from 22-24% in the current
projected mix), 20-22% for nuclear power (unchanged), 20% for LNG (down from 27%); 19% for coal (down from 26%), and 2% for oil(down from 3%). The renewable energy mix would be 15% for solar power, 6% for wind power, 1% for geothermal power, 10% forhydroelectric power, and 5 % for biomass.
Regarding producer-side charges, as described in “b. Investment Environment” under “I. Overview of the Fiscal Period under Review”
above, at a meeting of the Investment Subcommittee on the Large-volume Introduction of the Renewable Energy and Next Generation
Electric Network held in May 2021, discussions on adjustments for FIT energy sources were resumed. Details of adjustments for projects
which have already been approved are expected to be determined by the end of FY2021, based on discussions with those concerned
including photovoltaic power generation business operators.
As described in described in “b. Investment Environment” under “I. Overview of the Fiscal Period under Review” above, details of the2020 Amendment to the Renewable Energy Special Measures Act, such as the FIP system, system for nullifying approvals and reserve of
decommissioning costs for solar power generation facilities to be introduced under the Act, are currently under consideration in anticipationof enactment of the amended Act in April 2022.

b. Future Management Policy(i) External Growth Strategy
The Canadian Solar Group (Note 2), which is the Sponsor Group (Note 1) of CSIF, adopts the vertical integration model that hasdeveloped mainly in the photovoltaic power generation market in Europe and America and applies this model in the global market, including
Japan. CSIF considers that mutual cooperation between the Group and CSIF (engaging in investment in and management of photovoltaic
power generation facilities) through the Sponsor Group based on the vertical integration model for the construction of the value chain withthe aim of creating mutual value should lead to the enhancement of value for unitholders.
Specifically, CSIF intends to increase assets by utilizing the preferential trading negotiation right granted by the Sponsor Group andacquiring photovoltaic power generation facilities, etc. whose value is high from the pipelines of the Sponsor. In addition, CSIF will aim toacquire photovoltaic power generation facilities, etc. held by persons other than the Sponsor Group by utilizing the Sponsor Group’s
networks of brokers and power producers.
Meanwhile, Canadian Solar Inc., one of the world's largest solar power companies and CSIF's Sponsor, has partnered with Macquarie
Advisory & Capital Solutions (hereinafter referred to as "Macquarie"), the advisory and capital markets arm of the Macquarie Group25

Ⅰ. Asset Management Report((ASX:MQG) to establish Japan Green Infrastructure Fund (hereinafter referred to as the "Fund"), which will invest in renewable energy
power generation facilities, etc., in Japan. The Fund has secured ¥22 billion of committed capital from investors including Canadian Solar
Inc. and Macquarie. This capital will be used to develop, build and accumulate new renewable energy power generation facilities, etc. inJapan. The Fund aims to catalyze large-scale investments within its six-year fund term. It will indirectly invest in renewable energy power
generation facilities, etc. developed and operated by Canadian Solar Inc., CSIF's Sponsor, by holding a silent partnership equity interest(hereinafter referred to as the "Silent Partnership Equity Interest") in SPCs of the Sponsor Group which own said renewable energy power
generation facilities, etc. These renewable energy power generation facilities, etc. will be subject to the preferential trading negotiation right
granted to CSIF and the Asset Manager by the Sponsor in accordance with the Sponsor Support Agreement executed between CSIF, theAsset Manager and the Sponsor. In addition to said preferential trading negotiation right granted under the Sponsor Support Agreement,
CSIF and the Asset Manager have also acquired a preferential trading negotiation right in relation to the Silent Partnership Equity Interest
held by the Fund in accordance with an Agreement Concerning Granting of Preferential Negotiation Right executed on March 30, 2021
between CSIF, the Asset Manager and Green Infrastructure Fund Pte. Ltd., which is the General Partner of the Fund. CSIF believes that
establishment of the Fund will accelerate the development of projects by the Sponsor, thereby enhancing the sponsor pipeline and opening
up further opportunities for CSIF.
(Note 1) The “Sponsor Group” collectively refer to (i) the Sponsor (Canadian Solar Projects K.K.), (ii) special purpose companies (they may behereinafter referred to as “SPCs”), partnerships or other funds with which the Sponsor has entered into the asset management service
agreement, (iii) Canadian Solar O&M Japan K.K. (it may be hereinafter referred to as “CSOM Japan”) and (iv) special purpose companies,
partnerships or other funds in which the Sponsor or its subsidiary own a majority interest. The same shall apply hereunder.
(Note 2) The “Canadian Solar Group” refers to the consolidated corporate group with Canadian Solar Inc. (headquartered in Canada) at the top towhich the Sponsor (Canadian Solar Projects K.K.) belongs.

(ii) Internal Growth Strategy
CSIF will contract out O&M (Note) to CSOM Japan, which is a wholly owned subsidiary of the Sponsor and provides O&M services inJapan, in principle, for the availability of homogeneous O&M services to the extent that CSIF considers essential. CSIF aims to thereby
reduce the operational risk and operating costs by utilizing the services of CSOM Japan and placing a blanket order, respectively.
By making the most of the strong operation and management abilities realized by utilizing the global monitoring platform of the Sponsor
Group in the early discovery and repair of failures of power generation facilities, CSIF will aim to reduce the loss of power generation. In
addition, CSIF will implement the appropriate repair and facilities replacement of assets under management to maintain and enhance thevalue of assets from the medium- to long-term perspective, thereby securing stable revenue in the medium to long term.
In response to the output curtailment implemented by Kyushu Electric Power described in “b. Investment Environment” under “I.
Overview of the Fiscal Period under Review” above, CSIF performed construction for online output curtailment (output curtailment ofphotovoltaic power generation facilities with a remote output controller installed; the same will apply below) of CS Mashiki-machi Power
Plant, an asset in its portfolio. While CS Mashiki-machi Power Plant is subject to the 30-day rule for output curtailment, the above
construction in September 2020 required for online output curtailment allows a shift from the previous all-day curtailment to hourly
curtailment and reduction of a decrease in lease revenue caused by output curtailment. In addition, curtailment within a day is counted as
one day regardless of the duration, which allows the power plant to respond to output curtailment during peak demand for electricity while
complying with the 30-day rule. During the fiscal period under review, further progress was made, with CS Minami Shimabara-shi Power
Plant (East), CS Minami Shimabara-shi Power Plant (West) CS Shibushicho Power Plant all shifting to online output curtailment. All
photovoltaic power plants in Kyushu, with the exception of CS Hiji-machi Dai-ni Power Plant, are expected to have shifted to online output
curtailment by the end of the next fiscal period (CS Hiji-machi Dai-ni Power Plant is expected to shift to online output curtailment aroundspring 2023).
As part of its activities related to the Principles for Responsible Investment (UN PRI), the Asset Manager signed the UN PRI on August
13, 2019, and established the Approach to the Principles for Responsible Investment at the end of December 2020 as the basic ESG policyof the Asset Manager. CSIF obtained the following evaluation from the Japan Credit Rating Agency, Ltd. (JCR) regarding the green financeframework in order to apply for external certification and assessment for its ESG.
Date of Evaluation
May 11, 2020

Evaluating Agency
Japan Credit Rating
Agency, Ltd.(JCR)

OverallGreenness (use of proceeds)
Management, Operation and Transparency

Green 1 (F)g 1 (F)
m 1 (F)

Starting from the fiscal period under review, CSIF has gradually concluded specified wholesale supplying agreements withrespect to its assets, concluding an agreement with Zero Watt Power Inc. for CS Izu-shi Power Plant, CS Ōgawara-machi Power
Plant. and CS Daisen-cho Power Plant (A.B) and an agreement with Minna-Denryoku, Inc. for CS Marumori-machi Power Plant,
thereby contributing to the sale of clean renewable energy produced at each power plant. CSIF plans to conclude similar
agreements for CS Mashiki-machi Power Plant and CS Hiji-machi Dai-ni Power Plant next fiscal period.

(iii) Financial Strategy
To secure stable revenue and ensure the growth of the managed assets of CSIF, CSIF will consider financing by public offering,borrowings and other means in the acquisition of new assets, while watching changes in the financing environment closely.

Not applicable

26

Fiscal Period

4th FP

5th FP

6th FP

7th FP

8th FP

Jun. 30, 2019

Dec. 31, 2019

Jun. 30, 2020

Dec. 31, 2020

Jun. 30, 2021

10,000,000

10,000,000

10,000,000

10,000,000

10,000,000

Total Number of Units Issued

The Number of Units Allowed for Issuance

231,190

231,190

231,190

231,190386,656

Unitholders’ Capital (net) (Note) (in JPY mln)

21,482

21,34921,03920,87639,317The Number of Unitholders

11,143

11,40012,005

11,746

17,931(Note) Deductible amount for unitholders’ capital is deducted from the gross amount of unitholders’ capital.

(2) Major Unitholders List

Major unitholders as of December 31, 2020 are as follows.
Name

Ratio vs Total Number of Units Issued(%)

The Number of Units Held

Canadian Solar Project K.K.

56,62014.64

SSBTC CLIENT OMNIBUS ACCOUNT

10,774

2.78

THE BANK OF NEW YORK

8,221

2.12

THE BANK OF NEW YORK MELLON

7,593

1.96

UBS AG LONDON A/C IPB SEGREGATED CLIENT ACCOUNT

7,015

1.81

The Rokinren Bank

6,536

1.69

JP MORGAN CHASE BANK

5,795

1.49

THE BANK OF FUKUOKA , LTD.

5,000

1.29

GOLDMAN SACHS BANK EUROPE SE

4,410

1.14

The Master Trust Bank of Japan ,Ltd. (trust account)

4,404

1.13

116,368

30.09

Total
(Note) The ratio is rounded down to two decimal places.

(3) Summary of Executives

a.Executive Director, Supervisory Director and Accounting Auditor
Position
Executive Director

Name
Tetsuya Nakamura

Takashi Handa
Supervisory Director
Eriko Ishii

Evaluation(Note) “O&M” is an abbreviation of Operation & Maintenance. The same shall apply hereunder.

(6) Facts arising after the settlement of accounts

2. Overview of Fund Corporation(1) Summary of Invested Capital

Accounting Auditor

Compensation(in JPY thousand)Concurrent Post
Representative director of Canadian Solar AssetManagement K.K.
Mazars Carl (Partner)
Mazars FAS K.K. (Representative Director)
Zuken Inc. (Audit and Supervisory board member)
KACHIKAIHATSU CO.LTD. (Outside Director)
Shin Saiwai Law Office (Partner, Attorney at law)
Itochu REIT Management Co., Ltd. (Member of thecompliance committee)

Grant Thornton Taiyo LLC

-

-

2,400

10,600(Note 1) The executive directors and the supervisory director don’t hold the fund’s unit. Although the supervisory directors may be in a position of executive officer of any
corporations other than stated above, there is no conflict of interest related to the fund.
(Note 2) Compensation for the accounting auditor includes compensation for the audit of English financial statements and assessment of value of specified assets.
(Note 3) Overview of details of directors and officers liability insurance policy
CSIF has entered into a directors and officers liability insurance policy with an insurance company, as provided for in Article 116-3, Paragraph 1 of the Investment Trust Act.
This insurance policy covers lossses arising from claims for damages borne by the insureds due to errors, breach of duty, nonfeasance, etc.The above-mentioned
Ececutive Director and all of the Supervisory Directors are insureds under this insurance policy. However, CSIF does not cover losses and costs personally incurred by
officers through criminal acts and intentional illigal activities, such as bribery, as a measure to ensure that the proper performance of duties of officers, etc.,is not
impaired.The full amount of the insurance premium for this insurance policy excluding special contract is borne by CSIF.

b.The policy on decision of removal / not-to-reappoint of accounting auditor
Decision of removal is made based on Investment Trust Law and not-to-reappoint is made by unitholders’ meeting.

(4) Asset Manager, Asset Custodian and Administrator

Asset manager, asset custodian and administrator as of December 31, 2020 are as follows.
Delegated Position

Name

Asset Manager

Canadian Solar Asset Management K.K.

Asset Custodian

Sumitomo Mitsui Trust Bank, Ltd.

Administrator (Institutional Operation)

Sumitomo Mitsui Trust Bank, Ltd.

Administrator (Custodian of List of Unitholders)

Sumitomo Mitsui Trust Bank, Ltd.

Administrator (Accounting)

Ernst & Young Tax Co.

Administrator (Administration of Bond)

Mizuho Bank, Ltd.

27

Ⅰ. Asset Management Report(2) Major Assets List

3. Overview of Assets under Management

The summary of the top 10 assets as of June 30, 2021 is as follows.

(1) Composition of Assets and Regional Diversification
7th FP

8th FP

As of Dec. 31, 2020
Type of asset

Region (Note 1)

Hokkaido/Tohoku
Kanto
Solar energy facility
Tokai
Chugoku/Shikoku
KyushuSubtotal
Hokkaido/Tohoku
Kanto
Tokai
Land
Chugoku/Shikoku
KyushuSubtotal
Hokkaido/Tohoku
Kanto
Tokai
Land lease
Chugoku/Shikoku
KyushuSubtotal
Hokkaido/Tohoku
Solar energy facility intrust
KyushuSubtotal
Hokkaido/Tohoku
Land in trust
KyushuSubtotal
Hokkaido/Tohoku
Kanto
Solar energy facility etc. Tokai
Chugoku/Shikoku
KyushuSubtotal
Solar energy facility etc. total
Saving/other assets
Asset total (2)Total Asset-UnderManagement (AUM)(‘000yen)(Note 2)
978,114
2,297,723
5,527,098
9,805,090
20,562,109
39,170,137
48,970648,591
63,309539,396
3,184,875
4,485,144
17,92459,197282,151
3,415
390,450
753,139804,355804,355
116,748
116,748
1,966,112
3,005,513
5,872,560
10,347,903
24,137,435
45,329,524
45,329,524
3,722,790
49,052,315

As of Jun. 30, 2021

% of total AUM(Note 3)

2.0
4.7
11.3
20.0
41.9
79.9
0.1
1.3
0.1
1.1
6.5
9.1
0.0
0.1
0.6
0.0
0.8
1.5
1.6
1.6
0.2
0.2
4.0
6.1
12.0
21.1
49.2
92.4
92.4
7.6
100.0

Total Asset-UnderManagement (AUM)(‘000yen)(Note 2)
956,8632,243,053
5,409,653
9,577,438
20,092,588
38,279,597
48,970648,591
63,309560,196
3,184,875
4,505,944
69,41759,197
331,596
3,415
692,471
1,156,098
3,504,543
23,048,333
26,552,877
116,748
4,654,397
4,771,145
4,696,543
2,950,842
5,804,559
10,141,050
51,672,667
75,265,664
75,265,664
9,033,414
84,299,078

Rental Revenue Earned by Infrastructure Asset(in JPY thousand)Name of Infrastructure Asset% of total AUM(Note 3)

1.1
2.7
6.4
11.4
23.8
45.4
0.1
0.8
0.1
0.7
3.8
5.3
0.1
0.1
0.4
0.0
0.8
1.4
4.2
27.3
31.5
0.1
5.5
5.7
5.6
3.5
6.9
12.0
61.3
89.3
89.3
10.7
100.0

(Note 1) "Hokkaido/Tohoku" refers to Hokkaido, Aomori prefecuture, Iwate prefecture, Akita prefecutre, Miyagi prefecture, Fukushima prefecture and Yamagata prefecture.
"Kanto" refers to Ibaraki prefecture, Tochigi prefecture, Gunma prefecture Tokyo, Kanagawa prefecture, Saitama prefecture, Chiba prefecture, Yamanashi prefecture,
Nagano prefecture and Niigata prefecture. "Tokai" refers to Shizuoka prefecture, Aichi prefecture, Gifu prefecture, Mie prefecture, Toyama prefecture, Ishikawa
prefecture and Fukui prefecture. "Chugoku/Shikoku" refers to Okayama prefecture, Hiroshima prefecture, Yamaguchi prefecture, Tottori prefecture, Shimane prefecture,
Kagawa prefecture, Kochi prefecture, Tokushima prefecture and Ehime prefecture. "Kyushu" refers to Fukuoka prefecture, Oita prefecture, Miyazaki prefecture,
Kagoshima prefecture, Kumamoto prefecture, Nagasaki prefecture, Saga prefecture and Okinawa prefecture. The same applies hereinafter.
(Note 2) AUM refers to the numbers in the balance sheet.
(Note 3) The ratios are rounded off to the first decimal place.

Book Value(in JPY mln)

CS Hiji-machi Dai-ni Power Plant

767,470

28,004CS Mashiki-machi Power Plant

971,569

17,532

CS Daisen-cho Power Plant (A) and (B)586,140

9,379

CS Izu-shi Power Plant

250,260

4,350

CS Ogawara-machi Power Plant

115,0132,769

CS Minamishimabara-shi Power Plant (East)and (West)
CS Minano-machi Power Plant

95,476

1,511

46,992946

CS Hiji-machi Power Plant

51,146883

CS Ashikita-machi Power Plant

47,054856

CS Isa-shi Dai-san Power Plant

44,979823

2,976,099

67,053

Total(Note) There are no events which have impacts on any investment decision on infrastructure assets.

(3) Details of Assets

a.Details of Power Generation Facilities(i) Summary

Property andEquipment

Intangible
Assets

Accumulated Depreciation /Amortization

Beginning
Balance

Increase in
the FP

Decrease in
the FP

Structures

1,043

5

-

1,048

128

21

920

(Note1)

Machinery andEquipment

42,426

9-42,436

5,589

872

36,847(Note 1)Tools, Furnitureand Fixtures

590

0

-

590

78

11

512

(Note 1)Land
Construction inprogress
Structures in trust
Machinery andEquipment in trust
Tools, Furnitureand Fixtures intrust
Land in trust

4,485

20

-

4,505

-

-

4,505

(Note1)

17

6

17

6

-

-

6

(Note2)

116

4,654

-

4,771

-

Total

49,49230,821

41

80,272

6,156

753

402

-

1,156

-

-

1,156

3

-

-

3

2

0

1

757

402

-

1,160

2

0

1,157

Type of Asset

Leasehold Rights
Software
Total

EndingBalance

For this FP

Net Ending
Balance

Abstract

33

6,526

-

6,559

77

77

6,481

(Note3)776

19,50824

20,260281

273

19,979(Note3)

3

90

-

93

1

1

92

(Note3)-

4,771(Note3

1,258

74,115(Note3(Note1) The increase for the 8th FP is related to the capital expenditure of the power plants.
(Note2) The increase for the 8th FP is related to the remodeling work for online curtailment for S-08 CS Hiji-machi Power Plant. And, the decrease for 8th FP is for the completionof the disaster recovery work for S-12 CS Kannami-cho Power Plant.
(Note3) The increases for the 8th FP are mainly related to the acquisition of the power plants on March 28, 2021. And the decrease for 8th FP is for the disposal of a part of the
facilities of S-22 CS Ishikari Shinshinotsu-mura Power Plant.

28

29

Ⅰ. Asset Management Report(ii) Details of Power Generation Facilities
The following table provides summary information for the CSIF owned 25 renewable energy facilities as of June 30, 2021.
Location

Site Area(m2) (Note 1)

CS Shibushi-shi
Power Plant

Shibushi-shi, Kagoshima

Solar Plant etc.

CS Isa-shi Power
Plant

S-03

Solar Plant etc.

S-04

PPA Purchase Price(yen/kwh) (Note 2)

Certification Date

FIT Term End(Note 3)(Note 4)

19,86140

February 26, 2013

September 16,
2034

Isa-shi, Kagoshima

22,22340

February 26, 2013

June 8, 2035

CS Kasama-shi
Power Plant

Kasama-shi, Ibaraki

42,666(Note 5)40

January 25, 2013

June 25, 2035

Solar Plant etc.

CS Isa-shi Dai-niPower Plant

Isa-shi, Kagoshima

31,81836

October 2, 2013

June 28, 2035

S-05

Solar Plant etc.

CS Yusui-cho
Power Plant

Aira-gun, Kagoshima

25,27436

March 14, 2014

August 20, 2035

S-06

Solar Plant etc.

CS Isa-shi Dai-sanPower Plant

Isa-shi, Kagoshima

40,73640

February 26, 2013

September 15,
2035

S-07

Solar Plant etc.

CS Kasama-shi Daini Power Plant

Kasama-shi, Ibaraki

53,27540

January 25, 2013

September 23,
2035

S-08

Solar Plant etc.

CS Hiji-machi
Power Plant

Hayami-gun, Oita

30,24636

July 16, 2013

October 12, 2035

S-09

Solar Plant etc.

CS Ashikita-machi
Power Plant

Ashikita-gun, Kumamoto

45,74040

February 26, 2013

December 10,
2035

S-10

Solar Plant etc.

CS Minamishimabarashi Power Plant (East) /CS Minamishimabarashi Power Plant (West)

Minamishimabara-shi,
Nagasaki

56,06640

February 26, 2013
(East)
February 26, 2013
(West)

December 24,
2035 (East)
January 28, 2036
(West)

S-11

Solar Plant etc.

CS Minano-machi
Power Plant

Chichibu-gun, Saitama

44,90432

December 11,
2014

December 6, 2036

S-12

Solar Plant etc.

CS Kannami-cho
Power Plant

Tagata-gun, Shizuoka

41,33936

March 31, 2014

March 2, 2037

S-13

Solar Plant etc.

CS Mashiki-machi
Power Plant

Kamimashiki-gun,
Kumamoto

638,552(Note 6)36

October 24, 2013

June 1, 2037

S-14

Solar Plant etc.

CS Koriyama-shi
Power Plan

Koriyama-shi, Fukushima

30,376(Note 5)32

February 27, 2015

September 15,
2036

S-15

Solar Plant etc.

CS Tsuyama-shi
Power Plant

Tsuyama-shi, Okayama

31,05932

September 26,
2014

June 29, 2037

S-16

Solar Plant etc.

CS Ena-shi PowerPlant

Aza Ochise, Kusumi, Osashimacho, Ena-shi, Gifu

37,37332

February 24, 2015

September 12,
2037

Solar Plant etc.

CS Daisen-choPower Plant (A) and(B)

Aza Magoese, Toyofusa,
Daisen-cho, Saihaku-gun,Tottori (A)Aza Kamikawara,
Toyofusa, Daisen-cho,
Saihaku-gun, Tottori (B)40

February 22, 2013
(A)
February 28, 2013
(B)

August 9, 2037

Solar Plant etc.

CS Takayama-shi
Power Plant

Shingumachi, Takayamashi, Gifu

16,278(Note 5)32

January 30, 2015

October 9, 2037

S-19

Solar Plant etc.

CS Misato-machi
Power Plant

Misato-machi, Kodamagun, Saitama

25,31532

January 6, 2015

March 26, 2037

S-20

Solar Plant etc.

CS Marumori-machi
Power Plant

Marumori-machi, Igu-gun,
Miyagi65,306(Note 8)36

February 28, 2014

July 12, 2038

S-21

Solar Plant etc.

Ono Aza Okubo, Izu-shi,
Shizuoka

337,160

36

March 31, 2014

November 29,
2038

S-22

Solar Plant etc.

Ishikari-gun Hokkaido

42,977

24

November 18,
2016

July 15, 2039

S-23

Solar Plant etc.

Osaki-shi Miyagi

26,051

21

March 27, 2018

July 21, 2039

S-24

Solar Plant etc.

CS Izu-shi Power
Plant
CS Ishikari
Shinshinotsu-muraPower Plant
CS Osaki-shi
Kejonuma Power
Plant
CS Hiji-machi Dai-niPower Plant

Hayami-gun Oita

1,582,422

40

March 15, 2013

October 30, 2039

S-25

Solar Plant etc.

Shibata-gun Miyagi

123,728

32

February 9, 2015

March 19, 2040

Asset #

Category

S-01

Solar Plant etc.

S-02

S-17

S-18

Project NameCS Ogawara-machi
Power Plant

452,760(Note 7)

Project name

Certified Operator

PPA company

S-01

CS Shibushi-shi
Power Plant

Tida Power 01 G.K

Kyushu Electric Power
Co., Inc

S-02

CS Isa-shi Power
Plant

540

510

Tida Power01 G.K.

Kyushu Electric Power
Co., Inc

S-03

CS Kasama-shi
Power Plant

372

341

Tida Power01 G.K.

TEPCO Energy Partner,
Incorporated

S-04

CS Isa-shi Dai-niPower Plant

907

950

Tida Power01 G.K.

Kyushu Electric Power
Co., IncS-05

CS Yusui-cho
Power Plant

778

708

Tida Power01 G.K.

Kyushu Electric Power
Co., Inc

S-06

CS Isa-shi Dai-sanPower Plant

670

611

Tida Power01 G.K..

Kyushu Electric Power
Co., Inc

S-07

CS Kasama-shi Daini Power Plant

949

875

Tida Power01 G.K..

TEPCO Energy Partner,
Incorporated

S-08

CS Hiji-machi
Power Plant

850

825

Tida Power01 G.K.

Kyushu Electric Power
Co., Inc

S-09

CS Ashikita-machi
Power Plant

1,029

945

Tida Power01 G.K..

Kyushu Electric Power
Co., Inc

S-10

CS Minamishimabara-shi
Power Plant (East) / CS
Minamishimabara-shi Power
Plant (West)

989

920

Tida Power 01 G.K.

Kyushu Electric Power
Co., Inc

1,733

1,656

S-11

CS Minano-machi
Power Plant

Tida Power01 G.K.

TEPCO Energy Partner,
Incorporated

1,018

1,039

S-12

CS Kannami-cho
Power Plant

Tida Power01 G.K..

TEPCO Energy Partner,
Incorporated

514

516

S-13

CS Mashiki-machi
Power Plan

Tida Power01 G.K.

Kyushu Electric Power
Co., Inc.

19,751

20,163

S-14

CS Koriyama-shi
Power Plan

Tida Power01 G.K..

Tohoku Electric Power
Co., Inc.

246

233

S-15

CS Tsuyama-shi
Power Plan

Tida Power01 G.K..

The Chugoku ElectricPower Co., Inc.

746

713

S-16

CS Ena-shi Power
Plant

Tida Power01 G.K..

The Chubu ElectricPower Co., Inc.

757

765

S-17

CS Daisen-cho Power
Plant (A) and (B)Tida Power01 G.K..

The Chugoku ElectricPower Co., Inc.

10,447

10,010S-18

CS Takayama-shi
Power Plant

Tida Power01 G.K.

The Chubu ElectricPower Co., Inc.

326

311

S-19

CS Misato-machi
Power Plant

Tida Power01 G.K.

TEPCO Energy Partner,
Incorporated

470

433

S-20

CS Marumori-machi
Power Plant

Tida Power01 G.K.

Tohoku Electric Power
Co., Inc.

850

775

S-21

CS Izu-shi Power
Plant

TEPCO Power Grid,
Incorporated

4,569

4,271

Hokkaido Electric Power
Network Co., Ltd.

680

645

Tohoku ElectricPower Network Co.,Inc.

208

197

LOHAS ECE 2 G.K.

Kyushu Electric Power
Co., Inc.

27,851

27,877

Tida Power 45 G.K.

Tohoku ElectricPower Network Co.,Inc.

2,745

2,744

80,001

79,037

S-22
S-23
S-24
S-25

(Note 1) The numbers for “Site Area” are not equal to the real situation but based on the ground register.
(Note 2) “PPA Purchase Price” are the FIT price for each power plant (excluding consumption tax amount).
(Note 3) “Certification Date” denotes the date each power plant is certified under the article 6.1 of Revision Renewable Energy Special Measures Law. Each power plant isdeemed being certified on April 1, 2017 based on the article 9.3 of Revision Renewable Energy Special Measures Law.
(Note 4) “FIT Term End” denotes the date 20-year FIT term ends for each power plant.
(Note 5) The number for the site area is only for the power plant’s land ownership rights and doesn’t include easement.
(Note 6) The number for the site area is only for the power plant’s and self-employed line’s land ownership rights and doesn’t include easement.
(Note 7) The number for the site area is only for the power plant’s and self-employed line’s surface right and doesn’t include leasehold right and easement.
(Note 8) The number for the site area is only for the power plant’s, self-employed line’s and access road’s surface right and doesn’t include easement.

30

Asset #

Acquisition Price Fiscal period end
valuation (million(million yen)
(Note 1)yen) (Note 2)

CS Ishikari
Shinshinotsu-muraPower Plant
CS Osaki-shi
Kejonuma Power
Plant
CS Hiji-machi Dai-niPower Plant

CS Ogawara Power
Plant

Tida Power01 G.K.
(Note5)

Tida Power01 G.K.
(Note5)

Tida Power01 G.K.

(Note5)

Total

Appraisal value of solar
plants(million yen)(Note 3)(upper:solar energy
facility) (lower:land)
371
139
320
20
718
232
672

Fiscal period end
book value(million yen)
(Note 4)

485
323
818
671

36
580
30
817

579

57
788
37
908

730

36
882
38

823

883
856

1,579
1,511
77
783
256
474

946
501

41
16,6633,500
18117,532

51
578
135
727

761

37
9,664
346
249

9,379

61
314
119
758

455

16
4,034
237
575
69
157
39
22,917
4,960
2,698
45
68,414
10,622

229

644

307

793
4,350
684
218
28,004
2,769
75,265(Note 1) Acquisition price is based on acquisition price as described in the purchase agreements (excluding acquisition expenses related to the payment of outsourcing service
fees, property-related taxes, taxes on depreciable assets, urban planning taxes, consumption taxes and other fees).
(Note 2) For S-01 to S-18, the fiscal period end valuation is the median amount that the Investment Corporation calculated in accordance with Article 41, paragraph 1 of the
CSIF's Articles of Incorporation based on the range of valuation provided to us by PricewaterhouseCoopers Sustainability LLC and, for S-19 to S-25, the fiscal period end
valuation is based on the median amount provided to us by E&Y Strategy and Consulting Co., Ltd. in its project valuation report.
(Note 3) On the upper row of the appraisal value of solar plants, an assumed appraisal value of solar energy projects that is obtained by deducting the real estate appraisal value
calculated by Daiwa Real Estate Appraisal Co., Ltd. from the appraised value at the end of the period in (Note 2) above is stated, and on the lower row, an amount statedin the real estate appraisal report prepared by Daiwa Real Estate Appraisal Co., Ltd. is stated. Real estate includes its superficies right.
(Note 4) Fiscal period end book value is the book value of solar energy as of June 30, 2019.
(Note 5) The acquisition price of CS Mashiki Power Plant had reduced in the amount of 332 million yen on December 16, 2020, back from the signing date of the Property
Purchase Agreement.

31

Ⅰ. Asset Management Report
S-03 CS Kasama-shi Power Plant(iii) Operational Results of Each Power Generation Facilities (in JPY thousand)S-01 CS Shibushi-shi Power Plant
4th FP
Accounting Item

Fr. Jan. 1, 2019
To Jun. 30, 2019

5th FP
Fr. Jul. 1, 2019
To Dec. 31, 2019

4th FP
6th FP
Fr. Jan. 1, 2020
To Jun. 30, 2020

7th FP
Fr. Jul. 1, 2020
To Dec. 31, 2020

8th FP
Fr. Jan. 1, 2021
To Jun. 30, 2021

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output(Note)
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

18,727

19,137

18,632

19,03918,536

6,605－
25,332

6,288－
25,426

3,336－
21,968

7,573−
26,6124,326
322,866

2,254
2,254
－
1,907
1,701
－
－
205
－
－
9,459
447
8,970
41
13,621
11,711

2,254
2,254
－
2,296
2,073
－
－
223
－
－
9,472
457
8,973
41
14,023
11,402

1,917
1,917
－
2,273
2,014
－
－
258
－
－
9,472
457
8,973
41
13,663
8,304

1,916
1,916
−
2,114
1,872
−
−
241
−
−
9,472
457
8,973
41
13,503
13,109

1,626
1,626
−
3,078
2,870
−
−
207
−
−
9,486
466
8,978
41
14,191
8,675(Note)As a result of the failure of the wheeling charge calculation system of Kyushu Electric Power Co., Inc.,, CSIF determined variable rent linked to actual output for December 2019 based on output measured by themonitoring system. CSIF has received notification of purchased electricity for December 2019 and, therefore, adjusted variable rent linked to actual output on February 10, 2020 to ensure that the variable rent
linked to actual output is based on the purchased electricity stated in the notification of purchased electricity. CSIF judges that the impact of this adjustment on income in the current fiscal period is insignificant.

S-02 CS Isa-shi Power Plant

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output(Note)
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Fr. Jan. 1, 2019
To Jun. 30, 2019

5th FP
Fr. Jul. 1, 2019
To Dec. 31, 2019

6th FP
Fr. Jan. 1, 2020
To Jun. 30, 2020

7th FP
Fr. Jul. 1, 2020
To Dec. 31, 2020

8th FP
Fr. Jan. 1, 2021
To Jun. 30, 2021

14,313
5,648－
19,961

14,171
5,230－
19,402

14,2403,522－
17,76314,0996,502−
20,602

14,1684,105−
18,273

1,699
1,699
－
2,261
1,299
－
－
168
794
－
7,835
256
7,561
17
11,796
8,165

1,698
1,698
－
2,635
1,655
－
－
182
797
－
7,837
256
7,563
17
12,170
7,232

1,452
1,452
－
2,617
1,610
－
－
209
797
－
7,837
256
7,563
17
11,907
5,855

1,456
1,456
−
2,241
1,247
−
−
197
797
−
7,837
256
7,563
17
11,535
9,066

1,244
1,244
−
2,726
1,610
144
−
173
797
−
7,837
256
7,563
17
11,8086,465

Fr. Jan. 1, 2019
To Jun. 30, 2019

5th FP
Fr. Jul. 1, 2019
To Dec. 31, 2019

6th FP
Fr. Jan. 1, 2020
To Jun. 30, 2020

7th FP
Fr. Jul. 1, 2020
To Dec. 31, 2020

8th FP
Fr. Jan. 1, 2021
To Jun. 30, 2021

35,327
17,266
202
52,79629,39910,669173
40,24235,147
14,79594
50,03829,24910,743−39,992

34,968
13,110−48,079

3,791
3,791
－
3,277
2,931
－
－
346
－
－
14,462324
14,10433
21,532
31,264

3,792
3,792
－
3,255
2,879
－
－
375
－
－
14,462324
14,10433
21,51018,731

3,283
3,283
－
3,322
2,887
－
－
434
－
－
14,462324
14,10433
21,06828,970

3,284
3,284
−
3,461
3,051
−
−
409
−
−
14,462324
14,10433
21,207
18,784

2,848
2,848
−
3,698
2,914
426
−
357
−
−
14,462324
14,10433
21,00927,069S-04 CS Isa-shi Dai-ni Power Plant
4th FP
Accounting Item

4th FP
Accounting Item

Accounting Item

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output(Note)
Incidental income(Note)
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Fr. Jan. 1, 2019
To Jun. 30, 2019

5th FP
Fr. Jul. 1, 2019
To Dec. 31, 2019

6th FP
Fr. Jan. 1, 2020
To Jun. 30, 2020

7th FP
Fr. Jul. 1, 2020
To Dec. 31, 2020

8th FP
Fr. Jan. 1, 2021
To Jun. 30, 2021

29,51010,641－
40,152

29,263
9,522－
38,78529,3605,875－
35,235

29,114
12,142−
41,257

29,2109,139−
38,350

3,768
3,768
－
5,236
2,866
458
－
320
1,590
－
16,449306
16,101
41
25,454
14,697

3,768
3,768
－
4,695
2,756
－
－
347
1,590
－
16,457306
16,10941
24,92013,864

3,232
3,232
－
4,653
2,659
－
－
402
1,590
－
16,457306
16,10941
24,343
10,892

3,230
3,230
−
5,646
3,677
−
−
378
1,590
−
16,457306
16,10941
25,334
15,922

2,769
2,769
−
4,815
2,893
−
−
330
1,590
−
16,457306
16,10941
24,042
14,307(Note)As a result of the failure of the wheeling charge calculation system of Kyushu Electric Power Co., Inc.,, CSIF determined variable rent linked to actual output for December 2019 based on output measured by themonitoring system. CSIF has received notification of purchased electricity for December 2019 and, therefore, adjusted variable rent linked to actual output on February 10, 2020 to ensure that the variable rent
linked to actual output is based on the purchased electricity stated in the notification of purchased electricity. CSIF judges that the impact of this adjustment on income in the current fiscal period is insignificant.

(Note)As a result of the failure of the wheeling charge calculation system of Kyushu Electric Power Co., Inc.,, CSIF determined variable rent linked to actual output for December 2019 based on output measured by themonitoring system. CSIF has received notification of purchased electricity for December 2019 and, therefore, adjusted variable rent linked to actual output on February 10, 2020 to ensure that the variable rent
linked to actual output is based on the purchased electricity stated in the notification of purchased electricity. CSIF judges that the impact of this adjustment on income in the current fiscal period is insignificant.

32

33

Ⅰ. Asset Management Report
S-05 CS Yusui-cho Power Plant

S-07 CS Kasama-shi Dai-ni Power Plant
4th FP

Accounting Item
Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output(Note)
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Fr. Jan. 1, 2019
To Jun. 30, 2019

5th FP
Fr. Jul. 1, 2019
To Dec. 31, 2019

6th FP
Fr. Jan. 1, 2020
To Jun. 30, 2020

7th FP
Fr. Jul. 1, 2020
To Dec. 31, 2020

8th FP
Fr. Jan. 1, 2021
To Jun. 30, 2021

26,827
5,533－
32,361

23,476
8,425－
31,901

26,691
3,444－
30,13523,356
10,114−33,471

26,555
4,925−
31,480

3,277
3,277
－
3,987
2,425
－
－
298
1,263
－
14,242582
13,425
235
21,507
10,853

3,274
3,274
－
4,438
2,850
－
－
324
1,263
－
14,260595
13,429235
21,972
9,928

2,805
2,805
－
4,508
2,869
－
－
375
1,263
－
14,263598
13,429235
21,577
8,558

2,802
2,802
−
4,510
2,893
−
−
353
1,263
−
14,263598
13,429235
21,575
11,895

2,396
2,396
−
4,828
2,966
289
−
308
1,263
−
14,269605
13,429235
21,494
9,986(Note)As a result of the failure of the wheeling charge calculation system of Kyushu Electric Power Co., Inc.,, CSIF determined variable rent linked to actual output for December 2019 based on output measured by themonitoring system. CSIF has received notification of purchased electricity for December 2019 and, therefore, adjusted variable rent linked to actual output on February 10, 2020 to ensure that the variable rent
linked to actual output is based on the purchased electricity stated in the notification of purchased electricity. CSIF judges that the impact of this adjustment on income in the current fiscal period is insignificant.

4th FP

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output(Note)
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Fr. Jan. 1, 2019
To Jun. 30, 2019

Fr. Jan. 1, 2019
To Jun. 30, 2019

5th FP
Fr. Jul. 1, 2019
To Dec. 31, 2019

6th FP
Fr. Jan. 1, 2020
To Jun. 30, 2020

7th FP
Fr. Jul. 1, 2020
To Dec. 31, 2020

8th FP
Fr. Jan. 1, 2021
To Jun. 30, 2021

35,695
12,165－47,86034,851
11,728－46,57935,514
7,953－
43,467

34,673
15,683－50,35735,332
9,647−
44,979

4,494
4,494
－
5,551
3,080
84
－
349
2,036
－
19,784290
19,44351
29,83018,030

4,494
4,494
－
5,459
3,042
－
－
379
2,036
－
19,799290
19,45851
29,753
16,826

3,876
3,876
－
6,385
3,907
－
－
441
2,036
－
19,861
290
19,52051
30,123
13,343

3,874
3,874
－
5,829
3,377
－
－
414
2,036
－
19,861
290
19,52051
29,564
20,792

3,323
3,323
−
5,583
3,185
−
−
361
2,036
−
19,861
290
19,52051
28,767
16,211

5th FP
Fr. Jul. 1, 2019
To Dec. 31, 2019

6th FP
Fr. Jan. 1, 2020
To Jun. 30, 2020

7th FP
Fr. Jul. 1, 2020
To Dec. 31, 2020

8th FP
Fr. Jan. 1, 2021
To Jun. 30, 2021

34,897
16,386－
51,28429,013
9,415－
38,42934,72014,507－49,22728,865
9,763−
38,62934,543
14,19480
48,817

4,304
4,304
－
6,964
3,532
700
－
335
2,396
－
17,604247
17,31442
28,873
22,410

4,304
4,304
－
5,606
2,847
－
－
362
2,396
－
17,604247
17,31442
27,514
10,914

3,689
3,689
－
5,695
2,881
－
－
417
2,395
－
17,604247
17,31442
26,98822,238

3,688
3,688
−
5,802
3,012
−
−
393
2,396
−
17,604247
17,31442
27,095
11,534

3,161
3,161
−
5,621
2,878
−
−
346
2,396
−
17,604247
17,31442
26,38722,429S-08 CS Hiji-machi Power Plant
4th FP

S-06 CS Isa-shi Dai-san Power Plant
Accounting Item

4th FP
Accounting Item

Accounting Item
Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output(Note)
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Fr. Jan. 1, 2019
To Jun. 30, 2019

5th FP
Fr. Jul. 1, 2019
To Dec. 31, 2019

6th FP
Fr. Jan. 1, 2020
To Jun. 30, 2020

7th FP
Fr. Jul. 1, 2020
To Dec. 31, 2020

8th FP
Fr. Jan. 1, 2021
To Jun. 30, 2021

37,94915,805－53,75537,482
10,943－
48,42637,757
10,964－
48,72137,292
19,144−56,43637,564
13,581−
51,146

5,167
5,167
－
5,622
3,562
－
－
419
1,639
－
22,066835
21,116114
32,85520,899

5,166
5,166
－
5,547
3,578
－
－
456
1,512
－
22,070835
21,120114
32,783
15,643

4,427
4,427
－
5,524
3,391
－
－
530
1,602
－
22,070835
21,120114
32,021
16,700

4,426
4,426
−
5,894
3,881
−
−
498
1,514
−
22,070835
21,120114
32,39024,045

3,798
3,798
−
6,221
4,185
−
−
433
1,602
−
22,031
835
21,12075
32,051
19,095(Note)As a result of the failure of the wheeling charge calculation system of Kyushu Electric Power Co., Inc.,, CSIF determined variable rent linked to actual output for December 2019 based on output measured by themonitoring system. CSIF has received notification of purchased electricity for December 2019 and, therefore, adjusted variable rent linked to actual output on February 10, 2020 to ensure that the variable rent
linked to actual output is based on the purchased electricity stated in the notification of purchased electricity. CSIF judges that the impact of this adjustment on income in the current fiscal period is insignificant.

(Note)As a result of the failure of the wheeling charge calculation system of Kyushu Electric Power Co., Inc.,, CSIF determined variable rent linked to actual output for December 2019 based on output measured by themonitoring system. CSIF has received notification of purchased electricity for December 2019 and, therefore, adjusted variable rent linked to actual output on February 10, 2020 to ensure that the variable rent
linked to actual output is based on the purchased electricity stated in the notification of purchased electricity. CSIF judges that the impact of this adjustment on income in the current fiscal period is insignificant.

34

35

Ⅰ. Asset Management Report
S-09 CS Ashikita-machiPower Plant

S-11 CS Minano-machi Power Plant
4th FP

Accounting Item

Fr. Jan. 1, 2019
To Jun. 30, 2019

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output(Note)
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

5th FP
Fr. Jul. 1, 2019
To Dec. 31, 2019

6th FP
Fr. Jan. 1, 2020
To Jun. 30, 2020

7th FP
Fr. Jul. 1, 2020
To Dec. 31, 2020

8th FP
Fr. Jan. 1, 2021
To Jun. 30, 2021

35,753
12,815－48,56837,113
11,371－
48,48435,571
8,257－
43,82936,924
16,265−53,19035,39011,664−47,054

4,879
4,879
－
5,337
3,249
－
－
406
1,681
－
20,207
1,441
18,514252
30,424
18,144

4,876
4,876
－
5,880
3,758
－
－
440
1,681
－
20,216
1,441
18,523
252
30,973
17,511

4,167
4,167
－
6,154
3,964
－
－
509
1,681
－
20,216
1,441
18,523
252
30,53913,290

4,164
4,164
−
5,723
3,562
−
−
479
1,681
−
20,216
1,441
18,523
252
30,10423,086

3,559
3,559
−
6,001
3,900
−
−
419
1,681
−
20,216
1,441
18,523
252
29,777
17,276(Note)As a result of the failure of the wheeling charge calculation system of Kyushu Electric Power Co., Inc.,, CSIF determined variable rent linked to actual output for December 2019 based on output measured by themonitoring system. CSIF has received notification of purchased electricity for December 2019 and, therefore, adjusted variable rent linked to actual output on February 10, 2020 to ensure that the variable rent
linked to actual output is based on the purchased electricity stated in the notification of purchased electricity. CSIF judges that the impact of this adjustment on income in the current fiscal period is insignificant.

4th FP

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output(Note)
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Fr. Jan. 1, 2019
To Jun. 30, 2019

Fr. Jan. 1, 2019
To Jun. 30, 2019

5th FP
Fr. Jul. 1, 2019
To Dec. 31, 2019

6th FP
Fr. Jan. 1, 2020
To Jun. 30, 2020

7th FP
Fr. Jul. 1, 2020
To Dec. 31, 2020

8th FP
Fr. Jan. 1, 2021
To Jun. 30, 2021

63,48827,370－90,85965,521
20,782－86,30363,166
13,840－77,006

65,18829,488−94,677

62,844
32,632−
95,476

8,533
8,533
－
11,314
6,502
－
－
551
4,260
－
35,224739
34,235248
55,07135,787

8,530
8,530
－
10,188
5,317
－
－
611
4,260
－
35,224739
34,235248
53,94332,360

7,296
7,296
－
10,118
5,127
－
－
731
4,260
－
35,224739
34,235248
52,63924,367

7,296
7,296
−
10,791
5,840
−
−
689
4,260
−
35,224739
34,235248
53,311
41,366

6,244
6,244
−
10,536
5,515
152
−
606
4,260
−
35,333751
34,333248
52,11443,361

5th FP
Fr. Jul. 1, 2019
To Dec. 31, 2019

6th FP
Fr. Jan. 1, 2020
To Jun. 30, 2020

7th FP
Fr. Jul. 1, 2020
To Dec. 31, 2020

8th FP
Fr. Jan. 1, 2021
To Jun. 30, 2021

35,51915,005－50,52530,6882,722－
33,41035,34010,950－46,291

30,5338,305
338,84235,16011,831−
46,993

4,412
4,412
－
3,953
3,372
178
－
402
－
－
16,132766
15,366－24,49926,025

4,410
4,410
－
3,750
3,313
－
－
436
－
－
16,132766
15,366－24,293
9,117

3,816
3,816
－
3,700
3,195
－
－
504
－
－
16,132766
15,366－
23,64922,642

3,816
3,816
−
4,909
4,432
−
−
476
−
−
16,198766
15,432−
24,924
13,918

3,330
3,330
−
4,234
3,814
−
−
420
−
−
16,211766
15,445−23,77623,217

S-12 CS Kannami-cho Power Plant
4th FP

S-10 CS Minamishimabara-shi Power Plant (East and West)
Accounting Item

4th FP
Accounting Item

Accounting Item
Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Fr. Jan. 1, 2019
To Jun. 30, 2019

5th FP
Fr. Jul. 1, 2019
To Dec. 31, 2019

6th FP
Fr. Jan. 1, 2020
To Jun. 30, 2020

7th FP
Fr. Jul. 1, 2020
To Dec. 31, 2020

8th FP
Fr. Jan. 1, 2021
To Jun. 30, 2021

19,6449,060－
28,70518,456
5,304－
23,76019,545
7,872－
27,41818,363
5,528−
23,892

19,446
10,093−29,539

2,398
2,398
－
3,735
1,840
42
－
198
1,653
－
9,662
380
9,226
55
15,796
12,908

2,398
2,398
－
3,976
2,108
－
－
213
1,654
－
9,662
380
9,226
55
16,036
7,724

2,069
2,069
－
3,641
1,743
－
－
243
1,654
－
9,662
380
9,226
55
15,373
12,045

2,068
2,068
−
5,371
1,832
1,653
−
231
1,654
−
9,662
380
9,226
55
17,101
6,790

1,785
1,785
−
3,696
1,809
−
−
207
1,678
−
9,662
380
9,226
55
15,144
14,395(Note)As a result of the failure of the wheeling charge calculation system of Kyushu Electric Power Co., Inc.,, CSIF determined variable rent linked to actual output for December 2019 based on output measured by themonitoring system. CSIF has received notification of purchased electricity for December 2019 and, therefore, adjusted variable rent linked to actual output on February 10, 2020 to ensure that the variable rent
linked to actual output is based on the purchased electricity stated in the notification of purchased electricity. CSIF judges that the impact of this adjustment on income in the current fiscal period is insignificant.

3637

Ⅰ. Asset Management Report
S-13 CS Mashiki-machi Power Plant

S-15 CS Tsuyama-shi Power Plant
4th FP

Accounting Item
Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output(Note)
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

5th FP

Fr. Jan. 1, 2019
To Jun. 30, 2019

6th FP

Fr. Jul. 1, 2019
To Dec. 31, 2019

7th FP

Fr. Jan. 1, 2020
To Jun. 30, 2020

8th FP

Fr. Jul. 1, 2020
To Dec. 31, 2020

4th FP

Fr. Jan. 1, 2021
To Jun. 30, 2021

664,560
247,774－
912,334

688,283
232,965－
921,249

661,218
167,511－
828,729684,807309,385−
994,192

657,875
313,693−
971,569

96,65096,650－68,91861,168
－
－
7,703
45
－
344,340
3,531
332,915
7,893
509,908
402,426

96,65096,650－69,02660,428
176
－
8,356
65
－
344,350
3,531
332,916
7,902
510,027
411,22183,464
83,464－72,071
62,244
98
－
9,662
65
－
344,5123,531
333,078
7,902
500,048
328,680

83,464
83,464−90,501
81,080
226
−
9,148
45
−
337,941
3,551
326,487
7,902
511,906
482,286

70,99370,993−80,39670,219
1,996
−
8,121
58
−
338,234
3,562
326,769
7,902
489,624
481,945(Note)As a result of the failure of the wheeling charge calculation system of Kyushu Electric Power Co., Inc.,, CSIF determined variable rent linked to actual output for December 2019 based on output measured by themonitoring system. CSIF has received notification of purchased electricity for December 2019 and, therefore, adjusted variable rent linked to actual output on February 10, 2020 to ensure that the variable rent
linked to actual output is based on the purchased electricity stated in the notification of purchased electricity. CSIF judges that the impact of this adjustment on income in the current fiscal period is insignificant.

4th FP

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

38

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Fr. Jan. 1, 2019
To Jun. 30, 2019

5th FP

Fr. Jan. 1, 2019
To Jun. 30, 2019

6th FP

Fr. Jul. 1, 2019
To Dec. 31, 2019

7th FP

Fr. Jan. 1, 2020
To Jun. 30, 2020

Fr. Jul. 1, 2020
To Dec. 31, 2020

Fr. Jan. 1, 2021
To Jun. 30, 2021

8,085
5,215
－
13,300

7,580
3,317
2
10,901

8,044
4,396
－
12,441

7,542
2,880
2
10,426

8,003
4,148
−
12,152

1,298
1,298
－
990
883
－
－
106
－
－
4,191
327
3,864
－
6,479
6,820

1,296
1,296
－
1,590
876
600
－
113
－
－
4,191
327
3,864
－
7,077
3,823

1,171
1,171
－
965
837
－
－
128
－
－
4,191
327
3,864
－
6,328
6,113

1,168
1,168
−
952
829
−
−
122
−
−
4,191
327
3,864
−
6,311
4,114

1,007
1,007
−
940
829
−
−
110
−
−
4,191
327
3,864
−
6,138
6,013

6th FP
Fr. Jan. 1, 2020
To Jun. 30, 2020

7th FP
Fr. Jul. 1, 2020
To Dec. 31, 2020

8th FP
Fr. Jan. 1, 2021
To Jun. 30, 2021

22,141
12,485－34,627

24,321
12,548－36,86921,796
10,929−32,72524,05312,364−36,417

3,901
3,901
－
10,045
2,727
7,096
－
221
－
－
12,946365
12,276304
26,893
10,219

3,898
3,898
－
2,982
2,704
－
－
278
－
－
12,949376
12,267304
19,82914,797

3,469
3,469
－
3,482
3,206
－
－
275
－
－
12,914376
12,232
304
19,86617,003

3,468
3,468
−
4,820
3,078
1,746
－
261
3
−
13,061376
12,380304
21,35011,375

3,020
3,020
−
3,706
2,820
650
−
233
3
−
13,084376
12,403304
19,811
16,606

S-16 CS Ena-shi Power Plant
Accounting Item

8th FP

5th FP
Fr. Jul. 1, 2019
To Dec. 31, 201924,444
12,668－37,113

4th FP

S-14 CS Koriyama-shi Power Plant
Accounting Item

Accounting Item

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Fr. Jan. 1, 2019
To Jun. 30, 2019

5th FP
Fr. Jul. 1, 2019
To Dec. 31, 2019

6th FP
Fr. Jan. 1, 2020
To Jun. 30, 2020

7th FP
Fr. Jul. 1, 2020
To Dec. 31, 2020

8th FP
Fr. Jan. 1, 2021
To Jun. 30, 2021

26,39815,982－42,381

25,611
12,203－37,81526,266
14,224－40,49025,482
13,562
4
39,05026,133
12,678−38,812

4,344
4,344
－
4,306
3,115
－
－
252
938
－
14,510589
13,823
97
23,161
19,219

4,344
4,344
－
4,007
2,801
－
－
273
933
－
14,510589
13,823
97
22,862
14,953

3,776
3,776
－
4,288
2,772
－
－
314
1,202
－
14,510589
13,823
97
22,576
17,914

3,776
3,776
−
4,552
3,051
−
−
298
1,202
−
14,510589
13,823
97
22,83916,211

3,216
3,216
−
4,233
2,912
122
−
265
933
−
14,510589
13,823
97
21,96016,85139

Ⅰ. Asset Management Report
S-17 CS Daisen-cho Power Plant (A and B)

S-19 CS Misato-machi Power Plant
4th FP

Accounting Item
Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

5th FP

Fr. Jan. 1, 2019
To Jun. 30, 2019

6th FP

Fr. Jul. 1, 2019
To Dec. 31, 2019

7th FP

Fr. Jan. 1, 2020
To Jun. 30, 2020

8th FP

Fr. Jul. 1, 2020
To Dec. 31, 2020

4th FP

Fr. Jan. 1, 2021
To Jun. 30, 2021

327,901
247,066－
574,967

385,926
121,853－
507,780

326,253
268,083－
594,336

383,529
132,857－
516,387324,605
261,534−
586,140

59,954
59,954－54,49836,805－－
4,622
13,070－214,526
4,863
208,879782
328,979
245,988

59,954
59,954－53,88536,009－－5,019
12,856－
214,565
4,902
208,879
782
328,404
179,375

51,761
51,761－
54,60436,036－－
5,812
12,755－
214,567
4,905
208,879
782
320,933
273,403

51,76051,760−61,71043,616−−
5,500
12,593−
214,567
4,905
208,879782
328,038
188,349

44,70144,701−
55,972
37,972567−
4,876
12,555−
214,567
4,905
208,879782
315,241
270,898

S-18 CS Takayama-shi Power Plant

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

40

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Fr. Jan. 1, 2019
To Jun. 30, 2019

5th FP

6th FP

Fr. Jul. 1, 2019
To Dec. 31, 2019

Fr. Jan. 1, 2020
To Jun. 30, 2020

7th FP
Fr. Jul. 1, 2020
To Dec. 31, 2020

8th FP
Fr. Jan. 1, 2021
To Jun. 30, 2021

10,733
6,273－
17,006

13,005
5,628－
18,63415,3007,717－
23,017

12,9396,517−
19,457

15,2237,134
522,363

－
－
－
877
877
－
－
－
－
－
5,056
117
4,896
41
5,934
11,072

－
－
－
2,230
1,315
645
－
269
－
－
7,594
176
7,345
72
9,824
8,809

2,646
2,646
－
1,506
1,315
－
－
190
－
－
7,594
176
7,345
72
11,747
11,270

2,644
2,644
−
1,743
1,562
−
−
181
−
−
7,594
176
7,345
72
11,982
7,474

2,310
2,310
−
3,173
1,439
1,572
−
161
−
−
7,595
176
7,345
73
13,079
9,283

S-20 CS Marumori-machi Power Plant
4th FP

Accounting Item

Accounting Item

5th FP

Fr. Jan. 1, 2019
To Jun. 30, 2019

6th FP

Fr. Jul. 1, 2019
To Dec. 31, 2019

7th FP

Fr. Jan. 1, 2020
To Jun. 30, 2020

8th FP

Fr. Jul. 1, 2020
To Dec. 31, 2020

4th FP

Fr. Jan. 1, 2021
To Jun. 30, 2021

11,075
5,290－
16,365

9,720
4,625
－
14,346

11,0194,989－
16,009

9,671
3,829
−
13,501

10,963
5,009−
15,973

2,007
2,007
－
1,411
1,296
－
－
114
－
－
5,496
344
5,139
12
8,915
7,450

2,006
2,006
－
1,393
1,269
－
－
123
－
－
5,496
344
5,139
12
8,895
5,450

1,762
1,762
－
1,399
1,256
－
－
142
－
－
5,496
344
5,139
12
8,657
7,351

1,762
1,762
−
1,391
1,256
−
−
135
−
−
5,496
344
5,139
12
8,649
4,851

1,545
1,545
−
2,886
1,285
1,480
−
120
−
−
5,496
344
5,139
12
9,928
6,044

Accounting Item
Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Fr. Jan. 1, 2019
To Jun. 30, 2019

5th FP
Fr. Jul. 1, 2019
To Dec. 31, 2019

6th FP
Fr. Jan. 1, 2020
To Jun. 30, 2020

7th FP
Fr. Jul. 1, 2020
To Dec. 31, 2020

8th FP
Fr. Jan. 1, 2021
To Jun. 30, 2021

17,98911,768－29,75828,3306,694－
35,02532,391
15,151－47,542

28,1889,260−
37,44832,22815,833−48,061

－
－
－
3,730
1,376
－
－
－
2,354
－
8,847
261
8,464
121
12,57817,179

－
－
－
8,421
2,666
346
－
782
4,625
－
17,036503
16,297234
25,457
9,567

5,430
5,430
－
8,059
2,797
－
－
526
4,735
－
17,036503
16,297234
30,526
17,016

5,430
5,430
−
13,151
2,666
5,227
−
513
4,744
−
17,051503
16,313234
35,633
1,815

4,696
4,696
−
8,215
2,865
118
−
487
4,744
−
17,059503
16,320234
29,971
18,09041

Ⅰ. Asset Management Report
S-23 CS Osaki-shi Kejonuma Power Plant

S-21 CS Izu-shi Power Plant
4th FP
Accounting Item

5th FP

Fr. Jan. 1, 2019
To Jun. 30, 2019

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

6th FP

Fr. Jul. 1, 2019
To Dec. 31, 2019

7th FP

Fr. Jan. 1, 2020
To Jun. 30, 2020

Fr. Jul. 1, 2020
To Dec. 31, 2020

Fr. Jan. 1, 2021
To Jun. 30, 2021

－
－
－
－

17,832
8,750－
26,582

155,81384,936－
240,749

141,970
69,450−211,420

155,030
95,230−250,260

－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－

－
－
－
3,786
2,270
－
－
－
1,516
－
15,742732
14,755254
19,528
7,053

28,252
28,252－
21,398
12,770
－
－
－
8,628
－
87,776
4,082
82,271
1,421
137,427
103,322

28,252
28,252−27,011
12,770−−3,525
10,716−
87,776
4,082
82,271
1,421
143,039
68,38024,32924,329−27,016
13,018
1,342
−
1,483
11,173−87,776
4,082
82,271
1,421
139,122
111,138

S-22 CS Ishikari Shinshinotsu-mura Power Plant
4th FP
Accounting Item
Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Trust fees)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)(Structures in trust)(Machinery and equipment in trust)(Tools, furniture and fixtures in trust)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

5th FP

Fr. Jan. 1, 2019
To Jun. 30, 2019

6th FP

Fr. Jul. 1, 2019
To Dec. 31, 2019

7th FP

Fr. Jan. 1, 2020
To Jun. 30, 2020

4th FP

8th FP

8th FP

Fr. Jul. 1, 2020
To Dec. 31, 2020

Fr. Jan. 1, 2021
To Jun. 30, 2021

－
－
－
－

－
－
－
－

－
－
－
－

11,9163,884－
15,80021,501
5,871−
27,373

－
－
－
－
－
－
－
－
－
－
－
－

－
－
－
－
－
－
－
－
－
－
－
－

－
－
－
－
－
－
－
－
－
－
－
－

－
－
－
2,639
2,074
－
－
165
－
400
－
6,533

－
－

－
－
－
－
－

－
－
－
－
－

186
6,326
20
9,173
6,627

3,102
3,102
−
13,562
4,211
8,426
−
324
−
600
−
12,493−−−361
12,091
40
29,158(1,784)

Accounting Item

5th FP

Fr. Jan. 1, 2019
To Jun. 30, 2019

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Trust fees)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)(Structures in trust)(Machinery and equipment in trust)(Tools, furniture and fixtures in trust)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

6th FP

Fr. Jul. 1, 2019
To Dec. 31, 2019

7th FP

Fr. Jan. 1, 2020
To Jun. 30, 2020

8th FP

Fr. Jul. 1, 2020
To Dec. 31, 2020

Fr. Jan. 1, 2021
To Jun. 30, 2021

－
－
－
－

－
－
－
－

－
－
－
－

3,741
1,510
－
5,251

6,756
3,764
−
10,520

－
－
－
－
－
－
－
－
－
－
－
－

－
－
－
－
－
－
－
－
－
－
－
－

－
－
－
－
－
－
－
－
－
－
－
－

－
－
－
1,054
793
－
－
61
－
200
－
1,858

－
－

－
－
－
－
－

－
－
－
－
－

155
1,691
12
2,913
2,337

745
745
−
2,602
2,182
−
−
120
−
300
−
3,600
−
−
−
300
3,276
23
6,948
3,571

S-24 CS Hiji-machi Dai-ni Power Plant
4th FP
Accounting Item
Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Trust fees)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)(Structures in trust)(Machinery and equipment in trust)(Tools, furniture and fixtures in trust)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

5th FP

Fr. Jan. 1, 2019
To Jun. 30, 2019

6th FP

Fr. Jul. 1, 2019
To Dec. 31, 2019

7th FP

Fr. Jan. 1, 2020
To Jun. 30, 2020

8th FP

Fr. Jul. 1, 2020
To Dec. 31, 2020

Fr. Jan. 1, 2021
To Jun. 30, 2021

−
−
−
−

−
−
−
−

−
−
−
−

−
−
−
−

626,679
140,790−
767,470

−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−

−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−

−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−

−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−

−
−
−
54,99843,276
−
3,505
−
5,791
2,400
24
301,767−−−
72,436228,681649
356,765
410,704(Note)The operating term for the 8th FP is 181days, but S-24 CS Hiji-machi Dai-ni Power Plant was acquired on March 8, 2021, therefore, the facility's operating term is 115 days.

42

43

Ⅰ. Asset Management Report(4) Other Assets

S-25 CS Ogawara-machi Power Plant
4th FP
Accounting Item

5th FP

Fr. Jan. 1, 2019
To Jun. 30, 2019

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Trust fees)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)(Structures in trust)(Machinery and equipment in trust)(Tools, furniture and fixtures in trust)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

6th FP

Fr. Jul. 1, 2019
To Dec. 31, 2019

7th FP

Fr. Jan. 1, 2020
To Jun. 30, 2020

8th FP

Fr. Jul. 1, 2020
To Dec. 31, 2020

Fr. Jan. 1, 2021
To Jun. 30, 2021

−
−
−
−

−
−
−
−

−
−
−
−

−
−
−
−

76,70038,313−
115,013

−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−

−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−

−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−

−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−
−

−
−
−
8,682
7,164
−
−
−
117
1,400
−
34,482−−−
4,186
29,766529
43,16571,848Assets related to the power plants are described in “(3) Details of Assets / a. Details of Power Generation Facilities / (iii) Operational
Results of Each Power Generation Facilities (in JPY thousand)” and other assets as of June 30, 2021 are as follows.
Category

Type

Transaction Outside ofMarketContracted Amount(Note 1)

Interest Rate Swap
Total

Over 1 year
(Note 1)

Fair Value(Note 2)

36,176,505

33,906,482-

36,176,505

33,906,482-(Note 1) The contracted amount is based on notional amount.
(Note 2) As the transaction is booked based on special treatment under the financial instrument accounting standard, the fair value is omitted.

(5) Location of Assets by Country
There is no asset in the countries outside Japan as of June 30, 2021.

(Note)The operating term for the 8th FP is 181days, but S-25 CS Ogawara-machi Power Plant was acquired on March 8, 2021, therefore, the facility's operating term is 115 days.

b.Details of Investment in Operating Rights for Public Facilities
Not applicable.
c.Details of Investment in Real Estate
The real estate that CSIF holds are to be provided for the use of renewable energy power generation facilities and described in “(3)Details of Assets / a. Details of Power Generation Facilities / (i) Summary” above.
d.Details of Investment in Securities
Not applicable.

4445

Ⅰ. Asset Management Report(2) Summary of Debts

4. Capital Expenditures for Assets under Management(1) Scheduled Capital Expenditures

The following table shows capital expenditures for renewable energy power generation facilities, etc. owned by CSIF during the following
fiscal periods. The amount includes the portion which is to be treated as the expense during the period.

Name ofinfrastructure
assets, etc.
CS Hiji-machi Daini Power Plant
CS Ishikari
Shinshinotsu-muraPower Plant
CS Hiji-machi
Power Plant

Purpose

Projected period
Total amount

Hayami-gun,
Oita

Remodeling work foronline curtailment

From June 2021
To March 2022

Ishikari-gun,
Hokkaido

Module installation work

From June 2021
To July 2022

Hayami-gun,
Oita

Remodeling work foronline curtailment

From June 2021
To September 2021

32
36
6

Amount paid
during the
fiscal period
under review

Amount paidby prior FP

11

11

23

23

6

6

(2) Capital Expenditures during the Period

The following table shows capital expenditures for renewable energy power generation facilities, etc. owned by CSIF during the fiscal
period under review.
Name of infrastructure assets, etc.
(Location)

CS Shibushi-shi Power Plant(Shibushi-shi, Kagoshima)
CS Minamishimabara-shi Power
Plant (East) / CS
Minamishimabara-shi Power
Plant (West)(Minamishimabara-shi,
Nagasaki)
CS Kannami-cho Power Plant(Tagata-gun, Shizuoka)

PurposeRemodeling work for online
curtailment

Implementation period

Borrowing Date
LenderAmount paid
(thousand yen)

Shinsei Bank, Ltd.

2,016

1,952

Mizuho Bank, Ltd.

1,260

1,220

Sumitomo Mitsui
Banking Corporation

1,260

1,220

MUFG Bank, Ltd.

840

813

Resona Bank, Ltd.

1,512

1,464

Orix Bank Corporation

1,397

From January 18, 2021
To February 25, 2021

7,000

49,4452,933
20,800Drainage pavement construction

CS Tsuyama-shi Power Plant(Tsuyama-shi, Okayama)

Landslide countermeasureconstruction

From June 1, 2021
To June 30, 2021

(Note 4)

Unsecured andno guarantee

September 6, 2028

Partialamortization(Note 4)

Unsecured andno guarantee

0.58636

March 29, 2022

Partialamortization(Note 4)

Unsecured andno guarantee

0.58636

November 29,
2021

Partialamortization(Note 4)

Unsecured andno guarantee

0.77725(Note 3)

March 8, 2031

Partialamortization(Note 4)

Unsecured andno guarantee

0.28119

Earlier of (i) March
8, 2023 or (ii) the
first interest
payment date after
the consumption
tax refund date.

Bullet(Note 4)

Unsecured andno guarantee

0.37909

September 28,
2021

Partialamortization(Note 4)

Unsecured andno guarantee

1,464

756

732

The Shonai Bank, Ltd.

756

732

San ju San Bank,Ltd.

168

162

The Tochigi Bank, Ltd.

756

732

Shinsei Bank, Ltd.

1,514

1,470

Sumitomo Mitsui
Banking Corporation

1,514

1,470

MUFG Bank, Ltd.

1,749

1,698

1.04200

874

849(Note 2)The Ashikaga Bank, Ltd.

896

870

The Hiroshima Bank,
Ltd.

448

435

623

－

Shinsei Bank, Ltd.

944－

MUFG Bank, Ltd.

661

－

472

－

944

－

472

－

September 6,
2018

March 29, 2019

Nanto Bank, Ltd.

November 29,
2019

－

－

1,348

Sumitomo Mitsui
Banking Corporation

－

1,348

Mizuho Bank, Ltd.

－

1,316

25,681

MUFG Bank, Ltd.

－

1,316

107,256

Sumitomo Mitsui Trust
Bank, Limited

－

1,316

Asahi Shinkin Bank

－

2,051

The Tottori Bank,Ltd.

－

1,367

－

1,316

－

1,025

The Oita Bank,Ltd.

－683

The Nanto Bank,Ltd.

－683

The Senshu Ikeda
Bank, Ltd.

－

683

The Bank of Saga,Ltd.

－683

The Bank of Nagoya,Ltd.

－683

The Fukuho Bank,Ltd.

－488

The Bank ofFukuoka,Ltd.

－293

Shinsei Bank, Ltd.

－

850

－

850

－

600

981

－

The 77 Bank,Ltd.

5. Summary of Expenses and Debts(1) Summary of Expenses

Total

Partialamortization

1,512

The Chugoku Bank,Ltd.

7th FP

8th FP

From July 1, 2020
To December 31, 2020

From January 1, 2021
To June 30, 2021

61,062
18,994
2,400
63,348145,805

October 31, 2027

The Oita Bank, Ltd.

755

Not applicable.

Asset Management Fee
Administrative Service Fee
Directors’ Compensation
Other Operating Expenses

Abstract

Nanto Bank, Ltd.

Shinsei Bank, Ltd.

(3) Cash Reserved for Long-term Maintenance Plan

Fiscal Period

Use

813

October 31, 2017

The Hiroshima Bank,
Ltd.

Other power plants
Total

Repayment
Method

1,464

The Ashikaga Bank, Ltd.

From September 5, 2020
To January 19, 2021
From April 15, 2021
To May 25, 2021

Repayment Date

840

Nanto Bank, Ltd.

From May 12, 2021
To June 22, 2021

CS Mashiki-machi Power Plant(Kami mashiki-gun, Kumamoto)

Average
Interest Rate
(%)

1,512

The Hiroshima Bank,Ltd.

The Shonai Bank, Ltd.

Slope repair work

Ending Balance(Note 1)

Shinsei Bank, Ltd.

Handling work for updated
monitoring system for curtailment

Beginning
BalanceLong-term

Projected amount(million yen)
Location

Category

88,08623,4372,400
70,738
184,662

Sumitomo Mitsui
Banking Corporation

March 8, 2021

March 8, 2021

Mizuho Bank, Ltd.

0.84500(Note 2)Current portion of long-term loans payable
September 28,
2020

Mizuho Bank, Ltd.

Total

26,042(Note 5)38,476(Note 1) Average interest rate are based on actual number of days and weighted average. The number are rounded down.
(Note 2) For the debts with interest rate swap for hedging interest rate risk, the average interest rate incorporates the effect of such interest rate swap.
(Note 3) As from March 29, 2021, for the debts with interest rate swap for hedging interest rate risk, the average interest rate incorporates the effect of such interest rate swap.
(Note 4) The uses of the debt proceeds are the purchase of power plants.
(Note 5) Using a part of net estimated receipts of the corporate bond issuance of which payment due date is January 26, 2021, it is repaid on March 8, 2021, fully.
(Note 6) Using a part of net estimated receipts of the corporate bond issuance of which payment due date is January 26, 2021, it is repaid on May 14, 2021, fully.
(Note 7) Using a part of net estimated receipts of the corporate bond issuance of which payment due date is January 26, 2021 and a part of receipts of the new investment unitsof which payment due date is March 5, 2021, it is repaid on May 31, 2021, fully.

46

47

Ⅰ. Asset Management Report(3) Investment Corporation Bond
Name of Investment
Corporation Bond
Canadian Solar
Infrastructure Investment
Corporation / The 1st
Unsecured Bond
Canadian Solar
Infrastructure Investment
Corporation / The 1st
Unsecured Bond (Greenbond)

Issue dateNovember
6, 2019

6. Sales and Purchases during the Period

BeginningbalanceEndingBalance(million yen)(million yen)

1,100

1,100

Interest
rate (%)

Redemption
date

Redemption
methodPurpose

Abstract(Note)

Unsecuredand noguarantee

Purchase

0.71

November 6,
2024

BulletAsset No,

January 26,
2021

-

3,800

0.80

January 26,
2026

Bullet(Note)

Unsecuredand noguarantee

1,100

4,900

(4) Short-term Investment Corporation Bond
(5) Unit Acquisition Right

Amount（in JPY min）

Date

S-25

CS Hiji-machi Dai-niPower Plant
CS Ogawara Power
Plant

March 8, 2021

Sales

Amount（in JPY min）

Date

Book Value（in JPY min）

Profit / Loss（in JPY min）

27,851−−−−March 8, 2021

2,745

−

−

−

−

−

30,596

−

−

−

−

Total

(Note) The purpose is repayment of the debt whose maturity is approaching, payment of future acquisition cost of specified assets, payment of repair cost and capital
expenditure, and working capital.

Not applicable.

Name（Note）

S-24

Total

Not applicable.

(1) Summary for Sales and Purchases of Infrastructure Assets, Infrastructure-related Assets, Real Estate andAsset-backed Securities(Note)"Amount"is the purchase price based on the purchase contract and excludes costs such as property tax and consumption tax.

(2) Summary for Sales and Purchases of Other Assets
Not applicable.

(3) Valuation of Specified Assets
a.Real Estate(appraisal value)
Purchase or
Sales
Purchace
PurchaseName

CS Hiji-machi Dai-niPower Plant
CS Ogawara Power Plant
Total

Transaction Date

Purchase Price（in JPY min）

Appraisal Value（in JPY min）

（Note 1）

（Note 2）

4,890

March 8, 2021

Valuation Date

4,890

November 30, 2020

March 8, 2021

50

50

November 30, 2020

−

4,940

4,940

−

(Note 1) "Purchase Price" denotes the contracted price for land ownership night or land surface right.
(Note 2) Daiwa Estate Appraisal Co.,Ltd. is the appraiser.

b.Infrastructure Asset
Purchaseor SalesPurchase
Purchase

Purchase Price（in JPY min）
（Note 1）
（Note 1）

Asset Value（in JPY min）
（Note 2）

Name

Transaction Date

CS Hiji-machi Dai-niPower Plant
CS Ogawara Power Plant

March 8, 2021

22,961

27,690～29,345

March 1, 2021

March 8, 2021

2,695

2,729～2,883

March 1, 2021−

25,65630,419～32,228

−

Total

Valuation Date

(Note 1) "Purchase Price" denotes the contracted price on the purchase agreement.
(Note 2) "Asset Value" includes the appraisal value of the real estate mentioned in "a. Real Estate (appraisal value)"above.

(Note 3) The investigation of the asset valuce is conducted by Grant Thomton Taiyo LLC based on the guideline NO.23 published by JICPA.

48

49

Ⅰ. Asset Management Report

Ⅱ. Balance Sheet(4) Transactions with Interested Parties(Unit: thousand yen)a.Sales and Purchases

Category
Total
Breakdown of Transactions with Interested
Parties(Note 1)
LOHAS ECE 2 Godo Kaisha
Tida Power 45 Godo Kaisha
Total

7th Period(December 31, 2020)

Purchase / Sales Amount（Note 2）
Purchase Amount（inJPY thousand）
30,596,000

AssetsSales Amount（in JPY
thousand）−

Current Assets
Cash and bank deposit
Operating accounts receivable

27,851,000
2,745,000
30,596,000（9.103％）（8.97％）（100.0％）−−−

8th Period(June 30, 2021)

（−％）
（−％）
（−％）

(Note 1) The definition of "Interested Parties" is depending on the relevant law.
(Note 2) The amounts are based on the amount stated in the purchase and sales agreement of the assets.

2,828,532

4,611,954

362,206

1,006,913

Account receivable-

75,459Prepaid expenses

155,628

135,464

Consumption taxes receivable

26,241

2,511,791

Other current assets

2,130

10,200Total current assets

3,374,740

8,351,783

Fixed Assets

b.LeaseNot applicable.

Property and equipment
Structuresc.Commission Paid
Not applicable.

1,043,042

1,048,112

Accumulated depreciation(106,526)(128,066)

Structures, net

936,515

Machinery and equipment(5) Asset Manager’s Transaction Related to Asset Manager’s Other Business

Accumulated depreciation
Machinery and equipment ,net

37,710,136

36,847,519

590,418(66,933)

590,890(78,859)

Asset Manager doesn’t conduct any of the type1 and type2 financial instrument exchange business, real estate transaction business andspecified joint real estate ventures. There was no applicable transaction during the period.

Tools, furniture and fixtures

7. Summary of Accounts

Land

Accumulated depreciation
Tools, furniture and fixtures, net(1) Summary of Assets, Liabilities, Capital and Income/Loss

Please see the balance sheet, statement of income, statement of changes in unitholders’ equity, note and statement of cash distribution.

(2) Change in Calculation Method of Depreciation

Not applicable.

(4) Company Setting Investment Trust Beneficial Securities
Not applicable.

523,485

512,031

4,485,144

4,505,944

17,017

6,380

33,071

6,559,095

Accumulated depreciation(341)(77,626)

32,729776,471

6,481,469
20,260,404

Accumulated depreciation(8,017)(281,261)

Machinery and equipment in trust ,net

768,453
3,204

19,979,143
93,540(33)(1,276)

Tools, furniture and fixtures in trust
Accumulated depreciationt
Tools, furniture and fixtures in trust, netLand
Land in trust
Total property and equipment

8. Other

42,436,866(5,589,346)

Structures in trust

Machinery and equipment in trust(3) Change in Valuation Method of Infrastructure Assets and Real Estate※2Construction in progress

Structures in trust, nett

Not applicable.

920,046

42,426,996(4,716,860)

※2

3,171

92,264

116,748

4,771,145

44,593,402

74,115,945

753,139

1,156,098

Intangible assets(1) Notification

Leasehold rights

a.Unitholders’ Meeting
The third unitholders' meeting of CSIF was held on March 30, 2021. The following table summarizes the major matters approved by theunitholders' meeting.
Proposal

OutlinePartial Amendments to the Articles of Incorporation

The proposal was approved as originally proposed.

Election of One Executive Director

Tetsuya Nakamura was elected as executive director.

Election of The Alternative Executive Director

Hiroshi Yanagisawa was elected as alternative director.

Election of two Supervisory Directors

Takashi Handa and Eriko Ishii were elected as supervisory directors.

SoftwareTotal intangible assets

1,566

1,173

754,706

1,157,272

Investments and other assets
Long-term prepaid expenses

269,287

597,402

Investment in capital-

10

Deferred tax assets

13

12Long-term deposit

15,60015,600

Guarantee deposits

37,79037,790Total investment and other assets

322,690

650,815

45,670,799

75,924,033

Investment corporation bond issuance cost

6,776

23,261

Total deferred assets

6,776

23,26149,052,315

84,299,078

Total fixed assets
Deferred Assets

Total Assetsb.Board of Executives Meeting
Of the major contracts entered by the board of directors' meeting during the 8th period, the following table summarizes the major items.
Date of approval byboard

AgendaOutlineJanuary 19 2021

Entrustment of general administrative duties
concerning investment corporation bonds

The board of directors approved the respective candidate generaladministrator related to comprehensive resolution dated on June 26
2020.

February 17 2021

Conclusion of new investment units
underwriting agreement

With issuance of new investment units, an underwriting agreement
and the other for the new investment units was concluded(2) Treatment of Amount and Ratio with Fractional Point

Unless otherwise described, the amounts are rounded down and the ratio are rounded up or down.

50

51

Ⅱ. Balance Sheet

Ⅲ. Statement of Income(Unit: thousand yen)

7th Period(December 31, 2020)(Unit: thousand yen)

8th Period(June 30, 2021)

7th period(from July 1, 2020
to December 31, 2020)

Liabilities

Operating revenues

Current liabilities
Accounts payable – operating
Current portion of long-term loans payable

67,91079,837

6,517,867

2,270,023

Accounts payable – other109,145

298,657

Accrued expenses

102,519

112,830

879

860

Income taxes payable
Consumption tax payable
Deposits received

Rental revenues of renewable energy power generation facilities, etc.
Total operating revenues

Rental expenses of renewable energy power generation facilities, etc.

※1

1,781,479

23,437

3,085

15,090

Director’s compensation

2,400

2,400

6,835,355

2,801,259

Taxes and duties

436

2,204

Other operating expenses

62,912

68,534

Total operating expenses

1,555,292

1,966,142

858,332

1,459,043

14

35

-

0

Insurance income

1,219

79,272

Interest on refund-

4,900,000
36,206,482

Operating income or loss

20,624,374

41,106,482

Non-operating incomes

27,459,730

43,907,741

Interest income
Dividends

Unitholders' equity
22,050,175

40,631,004

Deduction from unitholders’ capital(1,174,155)(1,313,100)

Unitholders’ capital (net value)

20,876,019

39,317,904

Surplus
Unappropriated retained earnings (Accumulated deficit)

716,565

1,073,432

Total surplus

716,565

1,073,432

21,592,585

40,391,337※1

1,409,487

23,959Net assets

21,592,585
49,052,315※140,391,337
84,299,078

Other non-operating income
Total non-operating income※235,50133※2

11,61536,73590,957111,324

147,299

3,937

16,782879

2,514

56,792

212,847-

72,734

4,787

23,630Non-operating expenses
Interest expenses
Interest on investment corporation bondAmortization of investment corporation bond issuance cost
Borrowing-related expenses
Investment unit issuance costs

Loss on retirement of non-current assets
Total non-operating expenses

177,721475,809

Ordinary income

717,346

1,074,191

Income before income taxes

717,346

1,074,191

Income taxes - current

881

866

Income tax - deferred

20Total income taxes
Net income
Retained earnings (deficit) brought forward
Unappropriated retained earnings (Accumulated deficit)

52※1

88,086

1,100,000

Total unitholders' equity

3,425,186

61,062

19,524,374

Total liabilities and net assets

2,413,625

3,425,186

18,994Long-term loan payable

Unit holders’ capital※1

Operating expenses

Investment corporation bondTotal non-current liabilities

2,413,625

Administrative service fees

Non-current liabilities

Total liabilities※1

Asset management fee

33,948

Total current liabilities

Total net assets

8th period(from January 1, 2021
to June 30, 2021)

883

867

716,462

1,073,324

103

108

716,565

1,073,432

53

Ⅳ. Statements of Changes in Unitholders’ Equity

Ⅴ. Notes

7th Fiscal Period (From July 1, 2020 to December 31, 2020)(Unit: thousand yen)

Unitholders’ equity
Unitholders’ capital
Deduction fromunitholders’capitalUnitholders’capitalBalance as of January
1, 2020

Surplus
Unitholders’capital(net)Totalunitholders’equityCapital surplus
or loss

Total surplus

691,823

691,823

21,731,525

Summary of Significant Accounting Policies(from July 1, 2020 to December 31, 2020)
1.Method of depreciation and amortizationof non-current assets(1) Property and equipment
The straight-line method is adopted. In addition, the useful lives of major property andequipment are as shown below:
Structures…………………………………… 22 - 25 years
Machinery and equipment………………… 22 - 25 years
Tools, furniture and fixtures………………… 22 - 25 years
Structures in trust…
25 years
Machinery and equipment in trust……
25 years
Tools, furniture and fixtures in
25 yearstrust…………………
(2) Intangible assets
The straight-line method is adopted. In addition, the useful life is as shown below:
Software…………………………………… 5 years(3) Long-term prepaid expenses
The straight-line method is adopted.

2.Method of deferred assets amortization

Investment corporation bond issuance cost
The straight-line method over the period until the redemption date is adopted.

3.Standards for revenue and expense
recognition

Accounting for fixed assets tax
With respect to fixed assets tax, city planning tax and depreciable assets tax, among othertaxes, on the infrastructure assets held, of the tax amount assessed and determined, the amountcorresponding to the calculation period is accounted as rental expenses. In addition,
reimbursement such as fixed assets tax, which is paid to the seller and other persons on theacquisition of infrastructure assets and other assets (“the amount equivalent to the fixed assets
taxes and other taxes”) is not recognized as rental expenses but included in the acquisition cost of
the concerned infrastructure assets and other assets. In the fiscal period under review, the amountequivalent to the fixed assets tax and other taxes included in the acquisition cost of infrastructure
assets and other assets is 527 thousand yen.

4.Method of hedge accounting(1) Method of hedge accounting
Special treatment is adopted for the interest rate swap that meets the requirements for
special treatment.
(2) Hedging instruments and hedged items:･Hedging instruments…Interest rate swap transaction･Hedged items….Interest rate on loans(3) Policy for hedging
CSIF conducts derivative transactions to hedge risks as set forth in the CSIF’s Articles ofIncorporation according to the rules for risk management.
(4) Method of evaluation of effectiveness of hedging
The interest rate swap meets the requirements for special treatment, and thus the evaluationof effectiveness is omitted.

5.Other significant matters serving as thebasis for preparation of financial
statements(1) Accounting treatment with regard to trust beneficiary interest in real estateWith regards to trust beneficial interest in equipment of renewable energy power plants, allassets and liabilities within entrusted assets as well as all revenue and expense items which
occur to entrusted assets are recorded as the respective account titles on the balance sheet
and statements of income. The following important account titles among the entrusted assets
which are recorded as the respective account titles are separately indicated on the balance
sheet:
Structures in trust, Machinery and equipment in trust,Tools, furniture and fixtures in trust, Landin trust.

Total net assets

22,050,175(1,010,472)

21,039,702

21,731,525

Distribution in excessof earnings-(163,682)(163,682)--(163,682)(163,682)

Dividend of surplus

-

-

-

(691,720)(691,720)(691,720)(691,720)

Net Income

Changes of items
during the period

-

-

-

716,462

716,462

716,462

716,462

Total changes of items
during the period-(163,682)(163,682)

24,742

24,742(138,940)(138,940)

Balance as of June 30,
2020*1 22,050,175(1,174,155)

20,876,019

716,565

716,565

21,592,585

21,592,585

8th Fiscal Period (From January 1, 2021 to June 30, 2021)(Unit: thousand yen)

Unitholders’ equity
Unitholders’ capital
Deduction fromunitholders’capitalUnitholders’capitalBalance as of January
1, 2021

Surplus
Unitholders’capital(net)

Capital surplus
or loss

Total surplus

Totalunitholders’equityTotal net assets

22,050,175(1,174,155)

20,876,019

716,565

716,565

21,592,585

21,592,585

18,580,829−

18,580,829−−

18,580,829

18,580,829

Distribution in excessof earnings−(138,945)(138,945)−−(138,945)(138,945)

Dividend of surplus

−

−

−

(716,457)(716,457)(716,457)(716,457)

Net Income

−

−

−

1,073,324

1,073,324

1,073,324

1,073,324

18,580,829(138,945)

18,441,884

356,866

356,866

18,798,751

18,798,751(1,313,100)

39,317,904

1,073,432

1,073,432

40,391,337

40,391,337

Changes of items
during the period
Issuance of new
investment units

Total changes of items
during the period
Balance as of June 30,
2021*1 40,631,004(2) Accounting for Consumption tax
Consumption tax and local consumption tax are excluded from the correspondingtransaction amount.

54

55

Ⅴ. Notes
Summary of Significant Accounting Policies(from January 1, 2021 to June 30, 2021)
1.Method of depreciation and amortizationof non-current assets

2.Method of deferred assets amortization

3.Standards for revenue and expense
recognition

4.Method of hedge accounting

5.Other significant matters serving as thebasis for preparation of financial
statements(1) Property and equipment
The straight-line method is adopted. In addition, the useful lives of major property andequipment are as shown below:
Structures…………………………………… 22 - 25 years
Machinery and equipment………………… 22 - 25 years
Tools, furniture and fixtures………………… 22 - 25 years
Structures in trust…
24 - 30 years
Machinery and equipment in trust……
24 - 25 years
Tools, furniture and fixtures in
24 - 25 years
trust…………………
(2) Intangible assets
The straight-line method is adopted. In addition, the useful life is as shown below:
Software…………………………………… 5 years(3) Long-term prepaid expenses
The straight-line method is adopted.
(1) Investment corporation bond issuance cost
The straight-line method over the period until the redemption date is adopted.
(2) Investment units issuance expenses
Expensed as incurred.
Accounting for fixed assets tax
With respect to fixed assets tax, city planning tax and depreciable assets tax, among othertaxes, on the infrastructure assets held, of the tax amount assessed and determined, the amountcorresponding to the calculation period is accounted as rental expenses. In addition,
reimbursement such as fixed assets tax, which is paid to the seller and other persons on theacquisition of infrastructure assets and other assets (“the amount equivalent to the fixed assets
taxes and other taxes”) is not recognized as rental expenses but included in the acquisition cost of
the concerned infrastructure assets and other assets. In the fiscal period under review, the amountequivalent to the fixed assets tax and other taxes included in the acquisition cost of infrastructure
assets and other assets is 140,493 thousand yen.
(1) Method of hedge accounting
Special treatment is adopted for the interest rate swap that meets the requirements for
special treatment.
(2) Hedging instruments and hedged items:･Hedging instruments…Interest rate swap transaction･Hedged items….Interest rate on loans(3) Policy for hedging
CSIF conducts derivative transactions to hedge risks as set forth in the CSIF’s Articles ofIncorporation according to the rules for risk management.
(4) Method of evaluation of effectiveness of hedging
The interest rate swap meets the requirements for special treatment, and thus the evaluationof effectiveness is omitted.

(1) Accounting treatment with regard to trust beneficiary interest in real estateWith regards to trust beneficial interest in equipment of renewable energy power plants, allassets and liabilities within entrusted assets as well as all revenue and expense items which
occur to entrusted assets are recorded as the respective account titles on the balance sheet
and statements of income. The following important account titles among the entrusted assets
which are recorded as the respective account titles are separately indicated on the balance
sheet:
Structures in trust, Machinery and equipment in trust,Tools, furniture and fixtures in trust, Landin trust.
(2) Accounting for Consumption tax
Consumption tax and local consumption tax are excluded from the correspondingtransaction amount.

Notes on Changes in Presentation(Application of "Accounting Standard for Disclosure of Accounting Estimates")"Accounting Standard for Disclosure of Accounting Estimates" (Accounting Standards Board of Japan No. 31, March 31, 2021) has been
applied to the financial statements for the fiscal period ended on June 30, 2021, and Notes regarding Significant Accounting Estimates areincluded in the financial statements.
Notes regarding Significant Accounting Estimates
There are no items which are recognized by an accounting estimate on the financial statements for the fiscal period ended on June 30,
2021 and may significantly affect financial statements for the next fiscal period.
Notes to Balance Sheet*1 Minimum net assets stipulated in Article 67, Paragraph 4 of the Act on Investment Trusts and Investment Corporations(Unit: thousand yen)

As of December 31, 2020

As of June 30, 2021
50,000(Unit: thousand yen)

As of December 31, 2020

As of June 30, 2021
332,606-

Notes to Statement of Income(Unit: thousand yen)

From July 1, 2020
to December 31, 2020

From January 1, 2021
to June 30, 2021

*1 Breakdown of profits and losses from the rental business ofrenewable energy power generation facilities, etc.
A. Operating revenue from the rental business of renewable energy
power generation facilities, etc.
Rental revenue of renewable energy power generation facilities,
etc.
(Basic rent)(Variable rent linked to actual output)(Incidental income)
Total operating revenue from the rental business of renewableenergy power generation facilities, etc.

1,698,289

2,369,477

715,325

1,055,618

11

89

2,413,625

3,425,186

191,463

228,743

B. Operating expenses from the rental business of renewableenergy power generation facilities, etc.
Rental expenses of renewable energy power generation
facilities, etc.
(Management entrustment expenses)(Repair and maintenance costs)(Taxes and duties)(Utilities expenses)

8,585

17,289223,744

195,754−

3,505(Insurance expenses)

24,676

20,478(Depreciation expenses)

913,915

1,258,296(Land rent)

46,502

52,686(Trust fees)

600

4,700

−

24

Total operating expenses from the rental business ofrenewable energy power generation facilities, etc.

1,409,487

1,781,479

C. Profits and losses from the rental business of renewable energy
power generation facilities, etc. (A-B)

1,004,138

1,643,706(Other rental expenses)

56

50,000*2 JPY amount of a decrease in acquisition price for machine and equipment of S-13 CS Mashiki-machi PV Power Plant

57

Ⅴ. Notes*2 Breakdown of other non-operating income(Unit: thousand yen)

From July 1, 2020
to December 31, 2020
Reversal of accumulated depreciation corresponding to impairmentof the acquisition price of S-13 Mashiki-machi Power Plant

From January 1, 2021
to June 30, 2021

2. Matters relating to fair values of financial instruments
The table below shows the book value and fair values of financial instruments as of December 31, 2020 and the difference between
them. Financial instruments whose fair values are extremely difficult to estimate are not included in the table.
(Unit: thousand yen)

35,478-Book value(1) Cash and deposits

Notes to Statements of Changes in Unitholders’ Equity*1 Total number of authorized investment units and the total number of investment units issued and outstanding
From July 1, 2020
To December 31, 2020
Total number of authorized investment units

10,000,000 unit

10,000,000 unit

Total number of investment units issued andoutstanding

231,190 unit

386,656 unit-

(2) Operating accounts receivable362,206

362,206-(3) Long-term deposits

15,60015,600-3,206,339

3,206,339-(4) Current portion of long-term loans
payable6,517,867

6,509,162(8,704)(5) Long-term loans payable

19,524,374

19,684,965

160,591(6) Investment corporation bond

1,100,000

1,088,120(11,880)

27,142,241

27,280,052

140,006---

Total liabilities

Notes on Tax Effect Accounting
1.Breakdown of deferred tax assets and deferred tax liabilities by major cause(7) Derivative transaction(Unit: thousand yen)

Fiscal period ended

Fiscal period ended

December 31, 2020

June 30, 2021

Accrued business tax not deductible from taxable income

13

Total deferred tax assets

13

12
12

Net amount of deferred tax assets

13

12

2.Breakdown of each major item that causes a significant difference between the effective statutory tax rate and the rate of the burden of
corporate tax and other taxes after the application of tax effect accounting(Unit: thousand yen)

Effective statutory tax rate

Fiscal period ended

Fiscal period ended

December 31, 2020

June 30, 2021

31.46%

31.46%(31.42)%(31.44)%

Others

0.08%

0.06%

Rate of burden of corporate tax and other taxes after the applicationof tax effect accounting

0.12%

0.08%

(Adjustment)
Dividends paid deductible for tax purpose

Notes on Financial Instruments
For the 7th fiscal period (From July 1, 2020 to December 31, 2020)
1.Situation of financial instruments(1) Policy for financial instruments
CSIF procures funds for acquiring new assets or repaying loans through loans from financial institutions, issuring investment
corporation bond or issuing investment units. The basic policy is to build stable and sound financial operations to maintain andincrease earnings in the medium to long term and grow the size and value of assets(2) Details of the financial instruments and their risks and the risk management system
Long-term loans payables are one of the means to procure the funds for the acquisition of managed assets and are exposed tointerest rate fluctuation risk and liquidity risk, among other risks. However, this risk is deducted through the appropriate balancing of
the loan period and the interest rate type, and diversification of lenders, and the appropriate management of various types ofindexes, especially the general application of the upper limit of the ratio of interest-bearing, which is 60%.
(3) Supplementary explanation on fair value of financial instruments
The fair values of financial instruments are values based on market prices, or if there are no market prices, values arereasonably calculated. Since certain assumptions are used for the calculation of fair values, they may change if different
assumptions are used.

(Note 1) Methods used for estimating the fair values of financial instruments and matters related to derivative transactions
Assets(1) Cash and deposits (2) Operating accounts receivable
These financial instruments are settled in the short term, and their fair values are deemed to approximate their book value. Therefore, the book values are used as
the values.
(3) Long-term deposits
These financial instruments are fixed deposits and there is no significant fluctuation between estimated interest rates upon
new deposit and engaged rates of interest and their fair market values approximate their book values. Therefore, the bookvalues are used as the values.
Liabilities(4) Current portion of long-term loans payable (5) Long-term loans payable
With respect to long-term loans payable at variable interest rates, the condition that the interest rates are renewed every certain period is applied to loans, and thus
the market value is considered to be close to the book value. Accordingly, the book value is used. In addition, for the long-term loans payable at variable interest
rates subject to the special treatment of interest rate swap (refer to (7) 2. below), the fair value is measured by discounting the total sum of the principal andinterest treated together with the said interest rate swap as one at the interest rate that is applied when the similar loan is obtained and that is reasonably estimated.
(6) Investment corporation bondFair value is based on market value.
(7) Derivative transaction
1. Those to which hedge accounting is not applied
Not applicable.
2. Those to which hedge accounting is applied
Method of hedge
accounting

Type of derivativetransactions and othermatters

Special treatment ofinterest rate swap

Interest rate swap
transaction
Fixed payment/variable
receipt

Contract amount and other amounts
Major items hedged

Long-term loans
payable20,187,606

Longer than
one year

Fair value

Method ofcalculation of said
market value

18,939,441(Note)-(Note) Those that are subject to special treatment of interest rate swap are treated together with the current portion of long-term loans payable and the longterm loans payable to be hedged as one, and thus their fair value is presented together with the fair value of (Note 1) (4) Current portion of long-termloans payable and (5) Long-term loans payable in “Notes on financial instruments 2.Matters relating to fair values of financial instruments, among othermatters” .
(Note 2) Scheduled redemption amounts of monetary receivables after the closing date (December 31, 2020)
Longer than one
year, within two
years

Within one year
(1) Cash and deposits(2) Operating accounts receivable
Total

Longer than two
years, within threeyears(Unit: thousand yen)

Longer than three
years, within fouryears

Longer than four
years, within fiveyears

Longer than fiveyears

2,828,532

-

-

-

-

-

362,206

-

-

-

-

-

-

15,600----15,600---(3) Long-term deposits
3,109,739(Note 3) Scheduled redemption amount of loans payables after the closing date (December 31, 2020)
Longer than one
year, within two
years

Within one year
(4) Current portion of long-termloans payable(5) Long-term loans payable(6) Investment corporation bond
Total

58

Difference

2,828,532

Total assets

From January 1, 2021
To June 30, 2021

Fair value

2,828,532(Unit: thousand yen)

Longer than two
years, within threeyears

Longer than three
years, within fouryears

Longer than four
years, within fiveyears

Longer than fiveyears

6,517,867

-

-

-

-

-

-

1,860,238

1,292,889

1,254,936

1,291,266

13,825,044

-

-

-

1,100,000--

6,517,867

1,860,238

1,292,889

2,354,936

1,292,266

13,825,044

59

Ⅴ. Notes
For the 8th fiscal period (From January 1, 2021 to June 30, 2021)
1.Situation of financial instruments(1) Policy for financial instruments
CSIF procures funds for acquiring new assets or repaying loans through loans from financial institutions, issuring investment
corporation bond or issuing investment units. The basic policy is to build stable and sound financial operations to maintain andincrease earnings in the medium to long term and grow the size and value of assets(2) Details of the financial instruments and their risks and the risk management system
Long-term loans payables are one of the means to procure the funds for the acquisition of managed assets and are exposed tointerest rate fluctuation risk and liquidity risk, among other risks. However, this risk is deducted through the appropriate balancing of
the loan period and the interest rate type, and diversification of lenders, and the appropriate management of various types ofindexes, especially the general application of the upper limit of the ratio of interest-bearing, which is 60%.
(3) Supplementary explanation on fair value of financial instruments
The fair values of financial instruments are values based on market prices, or if there are no market prices, values arereasonably calculated. Since certain assumptions are used for the calculation of fair values, they may change if different
assumptions are used.

Difference

4,611,954

4,611,954−

1,006,913

1,006,913−

15,60015,600−5,634,467

5,634,467−(4) Current portion of long-term loans
payable2,270,023

2,271,482

1,459(5) Long-term loans payable

36,206,482

36,370,362

163,879(6) Investment corporation bondTotal liabilities

4,900,000

4,889,550(10,450)

43,376,505

43,531,378

154,889−−−(7) Derivative transaction(Note 1) Methods used for estimating the fair values of financial instruments and matters related to derivative transactions
Assets(1) Cash and deposits (2) Operating accounts receivable
These financial instruments are settled in the short term, and their fair values are deemed to approximate their book value. Therefore, the book values are used as
the values.
(3) Long-term deposits
These financial instruments are fixed deposits and there is no significant fluctuation between estimated interest rates upon
new deposit and engaged rates of interest and their fair market values approximate their book values. Therefore, the bookvalues are used as the values.
Liabilities(4) Current portion of long-term loans payable (5) Long-term loans payable
With respect to long-term loans payable at variable interest rates, the condition that the interest rates are renewed every certain period is applied to loans, and thus
the market value is considered to be close to the book value. Accordingly, the book value is used. In addition, for the long-term loans payable at variable interest
rates subject to the special treatment of interest rate swap (refer to (7) 2. below), the fair value is measured by discounting the total sum of the principal andinterest treated together with the said interest rate swap as one at the interest rate that is applied when the similar loan is obtained and that is reasonably estimated.
(6) Investment corporation bondFair value is based on market value.
(7) Derivative transaction
1. Those to which hedge accounting is not applied
Not applicable.
2. Those to which hedge accounting is applied
Method of hedge
accounting

Type of derivativetransactions and othermatters

Special treatment ofinterest rate swap

Interest rate swap
transaction
Fixed payment/variable
receipt

Contract amount and other amounts
Major items hedged

Long-term loans
payable36,176,505(5) Long-term loans payable(6) Investment corporation bond
Total

(Unit: thousand yen)

Longer than two
years, within threeyears

Longer than three
years, within fouryears

Longer than four
years, within fiveyears

Longer than fiveyears

2,270,023

−

−

−

−

−

−

4,561,543

2,267,295

2,206,896

2,301,459

24,869,286

−

−

−

1,100,000

3,800,000−

2,270,023

4,561,543

2,267,295

3,306,896

6,101,459

24,869,286

Notes on Investment and Rental Property
CSIF has renewable energy power generation facilities, etc. The book value change during the period and fair value at the end of theperiod are as shown below.
(Unit: thousand yen)Ending balance
Fair value at the end of the period(Note 4)(2) Operating accounts receivable
Total assets(4) Current portion of long-termloans payable

Change during the period (Note 3)(1) Cash and deposits(3) Long-term deposits

Within one year

Beginning balance(Unit: thousand yen)

Fair value

Longer than one
year, within two
years

Fiscal period ended

Fiscal period ended

December 31, 2020

June 30, 2021

Book value (Note 2)

2. Matters relating to fair values of financial instruments
The table below shows the book value and fair values of financial instruments as of June 30, 2021 and the difference between
them. Financial instruments whose fair values are extremely difficult to estimate are not included in the table.
Book value(Note 3) Scheduled redemption amount of loans payables after the closing date (June 30, 2021)

Longer than
one year

Fair value

Method ofcalculation of said
market value

33,906,482(Note)-

45,572,640

45,329,524(243,115)

29,936,139

45,329,524

75,265,664

48,890,000

79,037,000(Note 1) The real estate that CSIF holds is real estate to be provided for the use of renewable energy power generation facilities, and thus with respect to the book value and thefair value, the amount of the renewable energy power generation facilities and real estate are stated together as one.
(Note 2) The book value for is the amount at acquisition cost less the accumulated depreciation.
(Note 3) The change during the period ended December 31, 2020 primarily consisted of the increase due to acquisition of two photovoltaic power generation facilities (929,496
thousand yen), and the decrease due to depreciation expenses (913,915 thousand yen). And the change during the period ended June 30, 2021 primarily consisted of
the increase due to acquisition of two photovoltaic power generation facilities (31,110,809 thousand yen), and the decrease due to depreciation expenses (1,258,296
thousand yen).
(Note 4) The fair value is the total sum of the median amount that we calculated according to Article 41, paragraph 1 of the CSIF's Articles of Incorporation on the basis of theappraised value in the range stated in the valuation report with the date of the value opinion on December 31, 2020 and June 30, 2021, which was obtained fromPricewaterhouseCoopers Sustainability LLC (for S-01 to S-18). And, the fair value is the total sum of the median amount on the basis of the appraised value stated in thevaluation report with the date of the value opinion on December 31, 2020 and June 30, 2021, which was obtained from Ernst & Young Transaction Advisory Services
Co., Ltd. or Ernst & Young Strategy and Consulting Co., Ltd. (for S-19 to S-25). Please note that E&Y Transaction Advisory Services Co., Ltd. and Ernst & Young
Advisory and Consulting Co., Ltd. have been integrated and those were incorporated as E&Y Strategy and Consulting Co., Ltd. as of October 1, 2020.

In addition, profits and losses from the renewable energy power generation facilities, etc. for the fiscal period ended December 31, 2020
(the 7th period) and the fiscal period ended June 30, 2021 (the 8th period) are as stated in the “Notes to statement of income” above.
Notes on Restriction for Asset Management
Not applicable.

(Note) Those that are subject to special treatment of interest rate swap are treated together with the current portion of long-term loans payable and the longterm loans payable to be hedged as one, and thus their fair value is presented together with the fair value of (Note 1) (4) Current portion of long-termloans payable and (5) Long-term loans payable in “Notes on financial instruments 2.Matters relating to fair values of financial instruments, among othermatters” .
(Note 2) Scheduled redemption amounts of monetary receivables after the closing date (June 30, 2021)
Longer than one
year, within two
years

Within one year

Longer than three
years, within fouryears

Longer than four
years, within fiveyears

Longer than fiveyears

(1) Cash and deposits

4,611,954

−

−

−

−

−

(2) Operating accounts receivable

1,006,913

−

−

−

−

−

−

−

15,600−−−5,618,867−

15,600−−−(3) Long-term deposits
Total

60

(Unit: thousand yen)

Longer than two
years, within three
years

61

Ⅴ. Notes
Notes on Related Party Transaction
For prior period (from July 1, 2020 to December 31, 2020)
Attribute

RelatedParty of
Main
Investor

RelatedParty of
Main
Investor

Interested
Party of
Asset
ManagerName

CS Hokkaido
Ishikari G.K.
13,862

CS Miyagi
Kejonuma G.K.

Canadian Solar
O&M Japan
K.K.

Address

50F Shinjuku
Mitsui Bldg.,
Nishi-shinjuku
2-1-1,
Shinjuku-ku,
Tokyo JAPAN50F Shinjuku
Mitsui Bldg.,
Nishi-shinjuku
2-1-1,
Shinjuku-ku,
Tokyo JAPAN50F Shinjuku
Mitsui Bldg.,
Nishi-shinjuku
2-1-1,
Shinjuku-ku,
Tokyo JAPAN

Capital(in JPY
thousand)00100,000

Business

Development,
Acquisition,
Building,
Posession andOperation, etc.
of Renewableenergy power
generation
facilities, etc.
Development,
Acquisition,
Building,
Posession andOperation, etc.
of Renewableenergy power
generation
facilities, etc.

Operation and
MaintenanceNotes on Per Unit Information

Number ofUnits Hold
(Held)-

Relationship
Business
RelationshipTransaction

Acquisitionof SolarNotPower
applicable
Generation Facilities

Acquisitionof Solar
Power
Generation Facilities

Concurrent
Position of
Executive

Transaction
Amount(in JPY
thousand)Account(Note 1) (Note 2)

680,000

EndingBalance(in JPY
thousand)(Note 1)--

Prior fiscal period

Current fiscal period

From July 1, 2020
December 31, 2020

From January 1,2021
to June 30, 2021

Net assets per unit
Net income per unit

93,397 yen
3,099 yen

Net income per unit is calculated by dividing net income by theaverage number of investment units during the period.
With respect to diluted profit per unit for the period, there are no
dilutive investment units, and thus the statement is omitted.

Net assets per unit
Net income per unit

106,463 yen
3,234 yen

Net income per unit is calculated by dividing net income by theaverage number of investment units during the period.
With respect to diluted profit per unit for the period, there are no
dilutive investment units, and thus the statement is omitted.

(Note) The basis of calculation of net income (net loss) per unit is as follows.

--

Acquisitionof SolarNotPower
applicable
Generation Facilities

Acquisitionof Solar
Power
Generation Facilities

Outsourcin
g ofPayment
Not
Operationof O&Mapplicable andFee
Maintenance

208,000--

Net income (Net loss) (Thousand yen)Amount not attributable to common unit holders (Thousand yen)
191,245

Accounts
Payable67,910Prior fiscal period

Current fiscal period

From July 1, 2020
December 31, 2020

From January 1, 2021
to June 30, 2021

716,462

1,073,324--

Net income (Net loss) attributable to Common unit holders (Thousand yen)

716,462

1,073,324

Average number of investment units during the period (Units)

231,190

331,820(Note 1) The amounts exclude consumption taxes.
(Note 2) The condition of transactions are referring to market prices etc.

For current period (from January 1, 2021 to June 30, 2021)
Attribute

Name

Address

Capital(in JPY
thousand)LOHAS ECE 2
G.K.

50F Shinjuku
Mitsui Bldg.,
Nishi-shinjuku
2-1-1,
Shinjuku-ku,
Tokyo JAPAN100

RelatedParty of
Main
Investor

Tida Power 45
G.K.

50F Shinjuku
Mitsui Bldg.,
Nishi-shinjuku
2-1-1,
Shinjuku-ku,
Tokyo JAPAN0Interested
Party of
Asset
Manager

Canadian Solar
O&M Japan
K.K.

50F Shinjuku
Mitsui Bldg.,
Nishi-shinjuku
2-1-1,
Shinjuku-ku,
Tokyo JAPAN

RelatedParty of
Main
Investor

100,000

Business

Development,
Acquisition,
Building,
Posession andOperation, etc.
of Renewableenergy power
generation
facilities, etc.
Development,
Acquisition,
Building,
Posession andOperation, etc.
of Renewableenergy power
generation
facilities, etc.

Operation and
Maintenance

Number ofUnits Hold
(Held)

RelationshipTransaction
Amount(in JPY
thousand)EndingBalance(in JPY
thousand)Business
RelationshipTransaction-

Acquisitionof SolarNotPower
applicable
Generation Facilities

Acquisitionof Solar
Power
Generation Facilities

27,851,000

-

-

-

Acquisitionof SolarNotPower
applicable
Generation Facilities

Acquisitionof Solar
Power
Generation Facilities

2,745,000---

Outsourcin
g ofPayment
Not
Operationof O&Mapplicable andFee
Maintenance

228,525

Accounts
PayableConcurrent
Position of
Executive

Account(Note 1) (Note 2)(Note 1)

79,837(Note 1) The amounts exclude consumption taxes.
(Note 2) The condition of transactions are referring to market prices etc.

62

63

Ⅴ. Notes

Ⅵ. Statement of Cash Distribution

Notes on Subsequent Event after the Balance Sheet Date
For the 7th fiscal period (From July 1, 2020 to December 31, 2020)(ⅰ) Issuance of Investment Corporation Bonds (Green Bonds)
CSIF issued investment corporation bonds (“Green Bonds”) based on the shelf registration for its issuance ofinvestment corporation bonds filed to Kanto Local Finance Bureau as of January 26, 2021.
①

Name

Canadian Solar Infrastructure Investment Corporation / The 1st②

Total issue amount

3,800 million yen③

Form of the bond certificate

Subject to the provisions of the Act on Book-Entry Transfer of④

Issue price

100 yen per par value of 100 yen for each bond⑤

Redemption price

100 yen per par value of 100 yen for each bond⑥

Interest rate

0.80% per annum⑦

Denomination of each bond

100 million yen⑧

Offering method

Public offering⑨

Offering period

January 20, 2021⑩

Payment date

January 26, 2021⑪

Collateral / Guarantee

No collateral or guarantee is provided for the Green Bonds.

⑫

Redemption method andUnsecured Bond (Green Bonds)

Company Bonds, Shares, etc. bond certificates will not be issued.

None of CSIF’s assets are secured for the Green Bonds.

date⑬

Interest payment date

The total amount of the Green Bonds will be redeemed on January
26, 2026 (5-year bond) Early redemption is possible any time after the payment
date,except for the case separately determined by the depositary.
January 26 and July 26 of every year (When an interest paymentdate falls on a bankholiday it will be moved to the preceding business day. Initial interest payment date willbe July 26, 2021)⑭

Credit rating

A (Japan Credit Rating Agency, Ltd.)⑮

Special financial covenant

Collateral provision restriction clause is added.

⑯

DepositaryJapan Securities Depositary Center, Inc.

⑰

Fiscal agent, issuing agent

Mizuho Bank, Ltd.

and payment agent⑱

Underwriter for private

Mizuho Securities Co., Ltd. and SMBC Nikko Securities Inc.

placement

For the 8th fiscal period (From January 1, 2021 to June 30, 2021)
Not applicable.

64

I Unappropriated retained earnings (accumulated
deficit)
II Distributions in excess of retained earnings
Deduction from unitholders’ capital
III Cash distributions(Cash distributions per unit)
Profit distributions(Profit distributions per unit)
Distributions in excess of retained earnings(Distributions in excess of retained earnings)
IV Retained earnings (deficit) carried forward
Calculation method for cash distributions

Fiscal Period under Review

Fiscal Period under Review(From July 1, 2020
to December 31, 2020)(From January 1, 2021
to June 30, 2021)

716,565,873Yen

1,073,432,803Yen

138,945,190Yen
855,403,000Yen(3,700)Yen
716,457,810Yen(3,099)Yen
138,945,190Yen(601)Yen
108,063Yen
In accordance with Articles 47, Paragraph
1 of Canadian Solar Infrastructure Fund,
Inc. (“CSIF’) s Articles of Incorporation, theamount of cash distributions shall be theamount of profit in excess of an amountequivalent to 90% of distributable profits, as
stipulated in Article 67-15 of the Act on
Special Measures Concerning Taxation.
Based on this policy, CSIF decided to make
distributions of ¥716,457,810 which is theentire amount equivalent to theunappropriated retained earnings for the
fiscal period under review of ¥716,565,873
excluding fractions of the distribution perunit that are less than ¥1.
CSIF distributes cash in excess ofretained earnings every fiscal period basedon the cash distribution policy prescribed in
Article 47, Paragraph 2 of CSIF’s Articles ofIncorporation. Based on this policy, CSIF
decided to make cash distributions inexcess of earnings (return of capital
categorized as a distribution of the
reduction in capital for Japanese tax
purposes) in the amount of ¥138,945,190
which is equivalent to 15.2% of the amountof depreciation expenses recorded for the
fiscal period under review of ¥914,309,028.
Accordingly, the distribution per unit is¥3,700.

357,270,144Yen
1,430,627,200Yen(3,700)Yen
1,073,357,056Yen(2,776)Yen
357,270,144Yen(924)Yen
75,747Yen
In accordance with Articles 47, Paragraph
1 of Canadian Solar Infrastructure Fund,
Inc. (“CSIF’) s Articles of Incorporation, theamount of cash distributions shall be theamount of profit in excess of an amountequivalent to 90% of distributable profits, as
stipulated in Article 67-15 of the Act on
Special Measures Concerning Taxation.
Based on this policy, CSIF decided to make
distributions of ¥1,073,357,056 which is theentire amount equivalent to theunappropriated retained earnings for the
fiscal period under review of¥1,073,432,803 excluding fractions of the
distribution per unit that are less than ¥1.
CSIF distributes cash in excess ofretained earnings every fiscal period basedon the cash distribution policy prescribed in
Article 47, Paragraph 2 of CSIF’s Articles ofIncorporation. Based on this policy, CSIF
decided to make cash distributions inexcess of earnings (return of capital
categorized as a distribution of the
reduction in capital for Japanese tax
purposes) in the amount of ¥357,270,144
which is equivalent to 28.4% of the amountof depreciation expenses recorded for the
fiscal period under review of¥1,258,689,411.
Accordingly, the distribution per unit is¥3,700.

(Note) Distributions in excess of retained earnings per unit will generally be based on the cash distribution policy prescribed in CSIF’s Articles of Incorporation and the AssetManager’s asset management guideline.
CSIF intends to make cash distributions of NCF within the FCF generated from the renewable energy power generation facilities. The amount available for distribution shallbe calculated by multiplying NCF by the payout ratio.
Further, CSIF intends to make distributions in excess of retained earnings for each fiscal period in order to realize such policy.
CSIF’s forecasts (including revised forecasts) for each fiscal period are based on the assumption of the Forecast Power Generation (P50) provided in the independent
technical report which is used as a basis for calculating rents for renewable energy power generation facilities and if actual NCF calculated based on actual power
generation during the applicable fiscal period exceeds forecast NCF, CSIF’s policy is to set “forecast NCF multiplied by the payout ratio” as the upper limit of the amount ofcash distributions for the applicable fiscal period.
On the other hand, if actual NCF is less than forecast NCF, CSIF’s policy is to set “actual NCF multiplied by the payout ratio” as the amount of cash distributions for theapplicable fiscal period.
Based on this policy, CSIF decided to make distributions for the previous fiscal period of ¥855,403,000 which is equivalent to 89.0% of forecast NCF amount for the fiscal
period under review of ¥960,272,000. Of this, ¥138,945,190 which is the amount less of distributions of profit of ¥716,457,810 is distributions in excess
of retained earnings.
Based on this policy, CSIF decided to make distributions for the current fiscal period of ¥1,430,627,200 which is equivalent to 91.4% of forecast NCF amount for the fiscal
period under review of ¥1,564,321,798. Of this, ¥357,270,144 which is the amount less of distributions of profit of ¥1,073,357,056 is distributions in excess of retained
earnings.

65

Ⅶ. Statement of Cash Flow(unit: thousand yen)

7th period

8th period(From July 1, 2020
to December 31, 2020)(From January 1, 2021
to June 30, 2021)

Scope of funds in statement of cash
flows

Cash flows from operating activities
Income (Loss) before income taxes

717,346

1,074,191

Depreciation cost

914,309

1,258,689

Investment unit issuance costs-

72,734

Amortization of investment corporation bond issuance expenses

879

2,514

Interest income and dividends

(14)

(35)

Interest expenses

115,261

164,082

Other non-operating income(35,501)－

4,787

23,630115,770(644,706)

Loss on retirement of non-current assets
Decrease (Increase) in operating accounts receivable
Decrease (Increase) in account receivable-(75,459)

Decrease (Increase) in consumption taxes receivable(26,241)(2,468,252)

Decrease (Increase) in consumption taxes payable(169,743)(9,989)Decrease (Increase) in prepaid expenses(45,710)

18,744

Decrease (Increase) in long-term prepaid expenses

15,137(336,693)

Increase (Decrease) in operating accounts payable

37,951(12,894)

Increase (Decrease) in accounts payable - other

30,49016,916

Increase (Decrease) in accrued expenses(53,510)(2,242)Other, net

2,453

3,935

Sub-total

1,623,665(914,834)

Interest received
Interest paid
Income taxes paid
Net cash provided by (used in) operating activities

Summary of Significant Accounting Policies

14

35(114,642)(151,529)

(925)

(885)

1,508,112(1,067,212)

From July 1, 2020
To December 31, 2020

From January 1, 2021
To June 30, 2021

Funds (cash and cash equivalents) in statementof cash flows consist of cash on hand, demand
deposits and short-term investments with amaturity of three months or less at the date ofacquisition that can readily be converted into cash
and that are subject to insignificant risks ofchanges in value.

Funds (cash and cash equivalents) in statement ofcash flows consist of cash on hand, demand
deposits and short-term investments with amaturity of three months or less at the date ofacquisition that can readily be converted into cash
and that are subject to insignificant risks ofchanges in value.

Notes to Statement of Cash Flows*1 Relationship between the ending balance of cash and cash equivalents and the amounts on the balance sheet
From July 1, 2020
To December 31, 2020
*1 Summary of purchases of property and equipment(as of December 31, 2020)
Purchase prices of property andequipment in 7th period
Retrun of purchase prices of property andequipment purchased in previous years
Purchase prices of property and equipment(unit: thousand yen)(980,537)
333,933(646,543)*2 Relationship between the ending balance of cash and cash
equivalents and the amounts on the balance sheet(as of December 31, 2020)

From January 1, 2021
To June 30, 2021
*1 Summary of purchases of property and equipment(as of June 30, 2021)
Purchase prices of property andequipment in 7th period
Retrun of purchase prices of property andequipment purchased in previous years
Purchase prices of property and equipment

2,828,532
2,828,532(30,614,353)(30,614,353)*2 Relationship between the ending balance of cash and cash
equivalents and the amounts on the balance sheet(as of June 30, 2021)(unit: thousand yen)

Cash and deposits
Term deposits over three months
Cash and cash equivalents(unit: thousand yen)(unit: thousand yen)

Cash and deposits
Term deposits over three months
Cash and cash equivalents

4,611,954
4,611,954

Cash flows from investing activities
Deposit into fixed deposits
Purchases of property and equipment(7,800)※1(646,543)－※1(30,614,353)

Purchases of intangible assets-

Payment of investment in capital

-

(10)

(654,343)(31,017,322)

Proceeds from long-term loans payable

1,000,000

19,300,000

Repayment of long-term loans payable(789,671)(6,865,735)

Proceeds from investment corporation bond issuance-

3,800,000

Payment of investment corporation bond issuance costs-(19,000)

Proceeds from issuance of investment units-

18,580,829

Net cash provided by (used in) investing activities(402,959)

Cash flows from financing activities

Payment of investment units issuance costs
Dividends paid

(72,734)(716,457)

Surplus earning distribution paid

(163,682)(138,945)

Net cash provided by (used in) financing activities(645,074)

33,867,956

Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at the beginning of the fiscal period
Cash and cash equivalents at the end of the fiscal period

66(691,720)※2

208,694

1,783,421

2,619,838

2,828,532

2,828,532※2

4,611,954

67